Article details
WTI crude oil prices fell below $90 per barrel on Friday, failing to break above the critical resistance level and remaining trapped within the Ichimoku cloud between $87.61 and $91.37 for the third consecutive session. Technical indicators suggest weakening momentum as the price struggles to gain traction, while geopolitical optimism about a potential peace solution further dampens demand expectations. The failure to close above $90 has triggered bearish sentiment among traders, with the cloud's lower boundary acting as a key support level to monitor.
For markets, this price action reflects broader uncertainty about energy demand amid geopolitical developments. Traders are closely watching whether WTI can stabilize above the cloud to reverse the downward trend or if it will continue to face selling pressure. The $90 level remains a psychological barrier, and a sustained break below $87.61 could accelerate declines. Gulf investors, particularly in Saudi Arabia, should monitor OPEC+ policy adjustments and U.S. production data for potential counter-trends.
Looking ahead, the focus will shift to upcoming EIA inventory reports and OPEC+ meetings for policy cues. A breakdown below the cloud's lower boundary may open the door for a test of $85 support, while a rebound above $91.37 could signal a short-term rally. Traders should also assess how global equity markets and dollar strength interact with oil prices.
