Today, crude oil experienced a notable drop of 2.88%, the biggest slump since late November when prices took a 3.23% hit. The commodity finished the day at $66.31, a decrease of $1.95, as concerns over a potential economic slowdown due to tariffs cast a shadow on market sentiment. Contributing to the pressure, OPEC+ revealed their plan to restart certain halted crude productions in April, which would introduce an extra 138,000 barrels per day to the global supply.
From a technical standpoint, today’s decline saw crude oil testing and momentarily moving below the low from September 2024, which was $65.27. However, the momentum didn’t last, resulting in a rebound by the time markets closed.
Key support levels to keep an eye on include the low in 2024 at $65.27, along with the 2023 lows of $64.36 and $63.64. These might provide support if the downward pressure picks up again.
On the flip side, with prices bouncing back from the 2024 lows, traders will likely focus on the November low of $66.53 as the next target. Breaking through this point could reassure bargain hunters that the test of the 2024 low might spark a larger upward movement.
