WTI Price Analysis: Retreats from three-month high towards $116.40 support

• WTI consolidates recent gains around multi-day high, renews intraday low of late.
• Weekly horizontal support area, two-day-old ascending trend line restrict further downside.
• Bulls remain hopeful until breaking fortnight-old support line.

WTI crude oil prices recede from a three-month high, snapping a two-day uptrend around $118.35 during Monday’s Asian session.

Although overbought RSI and failures to stay beyond May’s peak surrounding $118.65-70 keep WTI bears hopeful, a weekly horizontal support area joins an upward sloping trend line from Thursday to challenge bears until the quote stay beyond $116.40.

Also acting as the short-term key support is the 200-SMA and ascending support line from mid-May, respectively near $113.30 and $110.40.

Alternatively, recovery moves need validation from the $120.00 psychological magnet before eyeing the yearly peak surrounding $130.00.

Overall, WTI crude oil remains on the bull’s radar despite the latest pullback moves.

WTI: Hourly chart

Trend: Further weakness expected