Oil Rebounds 1% to $58 as Trendline Tested After 20% Drop Since April
Oil prices edged higher by 1%, with West Texas Intermediate (WTI) crude testing key resistance at $58.08 after six consecutive days of losses. The rebound marks a technical recovery from February 2021 lows, fueled by dip-buying in an otherwise bearish trend. market participants are closely watching the descending trendline—a persistent ceiling for recent rallies. A decisive breakout could signal a short-term shift in sentiment.
OPEC+ continues to weigh on markets, surprising analysts with its second consecutive monthly output hike. Combined with lingering oversupply concerns, the cartel’s decision has contributed to a 20% price decline since early April. Barclays has adjusted its long-term outlook, cutting its 2025 Brent crude forecast to $70 per barrel.
