WTI Price Analysis: Oil price hits three-week low

• WTI hits three-week low, extending the previous week's 3% decline. 
• The daily chart indicators scope for further losses.

West Texas Intermediate (WTI) crude, the North American oil benchmark, fell to $38.83 during Monday's early Asian trading hours to hit the lowest level since Oct. 5.

At press time, WTI is trading at $39.18, representing a -1.68% decline on the day. 

The daily chart relative strength index now shows an ascending triangle breakdown, a bearish pattern. Further, the daily chart MACD histogram has crossed into the bearish territory below zero. 

As such, oil prices could suffer deeper losses this week. The bearish case would strengthen if prices find acceptance under the immediate support at $39.04 (Oct. 12 low). 

On the higher side, the horizontal resistance at $41.72 is the level to beat for the bulls. 

Daily chart

Trend: Bearish

Technical levels