Crude oil prices continued to decline due to increasing worries about demand

WTI oil prices declined early on Wednesday as the unexpected increase in US crude inventories heightened concerns about weakening demand.

This fresh downturn fell below the base of the rising daily Ichimoku cloud and broke through pivot levels at $78.16 and $77.66 (100-day moving average / 50% retracement of the $67.70/$87.61 rally), reinforcing the bearish signal established by the weekly close below the key psychological $80 support (which also includes Fibonacci 38.2% and 200-day moving average).

The price reached its lowest level in nearly two months, and the renewed acceleration downward suggests the continuation of the larger downtrend from $87.61 (2024 peak), which had paused for a brief consolidation over the last three days.

A close below $77.66 would confirm the bearish signal and pave the way toward targets at $75.31/00 (Fibonacci 61.8%, supported by the 200-week moving average / round figure).

Daily charts display a strong bearish setup, though oversold conditions might temper the bears in upcoming sessions, potentially offering limited rebound opportunities for better selling positions.

Res: 77.66; 78.16; 78.79; 80.00

Sup: 76.78; 75.31; 75.00; 73.54