• WTI extends pullback from intraday top after bouncing off weekly low the previous day.
• MACD conditions, repeated failures to cross 200-HMA keep sellers hopeful.
• Previous resistance line challenge sellers, buyers need validation from $86.00.

WTI crude oil price reverses the previous day’s rebound from the weekly low, also the lowest levels since January, as it drops to $85.05 during Tuesday’s Asian session.

In doing so, the black gold marks the third U-turn from the 200-HMA restricts as it approaches the one-week-old previous resistance line, around $84.65.

Not only the pullback from the 200-HMA but recently easing MACD and the lower high in prices also keep WTI sellers hopeful.

It’s worth noting that the 61.8% Fibonacci retracement of September 08-14 upside, around $84.25, adds to the downside filters before directing the quote towards the multi-month low marked earlier in September, close to $80.95.

Should the WTI bears conquer the $80.95 support, the downward trajectory won’t hesitate to break the $80.00 psychological magnet.

Alternatively, recovery moves need validation from the 200-HMA level surrounding $85.80. Also challenging the oil buyers is the Friday’s swing high near $86.00.

Following that, a run-up towards the monthly peak near $89.65 and then to the $90.00 psychological magnet can’t be ruled out.

WTI: Hourly chart

Trend: Further weakness expected