WTI Price Analysis: Ascending channel break suggests further Oil price declines past $70.00

• WTI crude oil remains pressured at the lowest levels in three weeks after falling the most in a month.
• Downside break of bullish chart pattern, bearish MACD signals favor Oil sellers.
• Oversold RSI may prod WTI bears before directing them to monthly/yearly low.
• Buyers need validation from $76.85 to retake control.

WTI crude oil price holds lower grounds near $69.60 as bears take a breather during early Wednesday morning in Asia, after a heavy fall.

That said, the black gold dropped the most since May 02 on Tuesday to drag the quote towards the lowest levels in three weeks. With this, the energy benchmark broke an upward-sloping trend channel established since May 08, as well as extended the trading below the 200-SMA.

While the bullish channel rejection and sustained trading below the key SMA favor Oil price sellers, the MACD signals are also suggesting the commodity’s further downside. However, the RSI (14) is oversold and hence the quote needs to consolidate a bit before portraying the fresh fall.

With this, the $67.30-20 support area gains attention before the WTI bears can approach the monthly, as well as the yearly, low marked on May 03 around $64.30.

Meanwhile, the stated channel’s bottom line, close to $71.70 precedes the 200-SMA hurdle of around $73.93 to guard immediate recovery of the Oil price.

Following that, the aforementioned channel’s top line near $75.00 and the April 28 peak of around $76.85 may challenge the WTI bulls before giving them control.

WTI crude oil: Four-hour chart

Trend: Further downside expected