WTI crude oil traded around $65.30 per barrel in the Asian session on Wednesday (August 6th). After four consecutive days of decline, international crude oil prices rebounded strongly on Wednesday, breaking away from the five-week low set the previous day. Market concerns about potential supply disruptions have resurfaced due to the US President's threat to impose tariffs on Asian countries importing crude oil from Russia.

According to market research, data from the American Petroleum Institute (API) showed that US crude oil inventories fell by 4.2 million barrels last week, far exceeding expectations of a 600,000-barrel drop. The US Energy Information Administration (EIA) will release official inventory data Wednesday evening. Further confirmation of significant draws could reinforce market expectations of tight supply and demand.

On the daily chart, US crude oil prices rebounded significantly after hitting key support above $60, forming a bullish engulfing pattern, indicating that short-term bulls have regained the upper hand. The price has now re-established itself above the 5-day moving average and is attempting to move closer to the 20-day moving average. If it can successfully break through the short-term resistance level of $65.80, it could potentially challenge the medium-term resistance zone near $67.50.

The Relative Strength Index (RSI) has rebounded above neutral territory. While the MACD indicator remains in negative territory, it is showing signs of narrowing, suggesting weakening downward momentum. Overall, absent any new negative supply news, WTI's short-term trend favors a volatile rebound. However, significant pressure from the upper moving average remains, and a significant breakout on high volume remains a concern. Overall, today's trading strategy for crude oil is primarily focused on buying on rebounds, supplemented by buying on dips. Focus on the 67.0-68.0 resistance level on the upside and the 64.0-63.0 support level on the downside.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.