WTI Crude Oil Tests $66 Supply Zone as Bearish Rejection Risk Builds

WTI crude oil is hovering near a weak high liquidity zone around $66.00–$66.40, where sellers previously stepped in. A confirmed bearish break below key support could trigger a deeper pullback toward $63.60.

⬤ WTI crude oil stalled near recent highs as it tested a supply zone between $66.00 and $66.40. Price is consolidating just below this range, showing hesitation rather than a clean breakout—suggesting buyers are struggling to push through.

⬤ The technical setup points to a possible liquidity grab followed by rejection. A bearish candle close below $65.80 would confirm sellers are in control and signal that the rally into the supply zone has failed.

⬤ If rejection plays out, the next downside targets are $64.20 for intraday support, then a broader demand zone near $63.60. The chart projects a move lower from the weak high area toward these levels if the bearish scenario unfolds.

Oil Price Tests Multi-Decade Support Zone on M2-Adjusted Chart

Oil prices adjusted for global money supply are holding near a critical long-term support level that's historically marked favorable entry points. Though momentum stays weak, the technical setup hints that further downside might be running out of room.

⬤ How price reacts at this weak high zone will likely set the tone for WTI's near-term direction. A confirmed break below $65.80 would validate the supply zone's strength, while failure to drop would keep the market balanced near current levels.

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Dmitri Lysenko E-mail

FX strategist and commodities analyst covering USD cycles, energy-linked currencies, and tactical hedging.