WTI Crude Oil Price Analysis For July 2

WTI crude oil has taken a sharp turn lower after spiking to the $100 per barrel area earlier this year, and the commodity is now on the verge of testing a long-term support zone that stretches from roughly $57 to $65 per barrel.

This area has held as a floor on multiple occasions since 2021, so it could attract plenty of buying interest once price arrives there. The shaded support region lines up with previous consolidation lows carved out in 2023 and 2025, reinforcing its significance as a key demand zone.

If buyers return in force at these levels, crude oil could stage a meaningful bounce back toward the $80 area, where the moving averages are converging to form a zone of dynamic resistance.

The 100 SMA has crossed below the 200 SMA on the longer-term time frame, confirming that the path of least resistance is to the downside and that the broader bearish trend is in control for now. Price is trading well beneath both indicators, which could act as overhead resistance on any recovery attempt.

Stochastic has plunged deep into the oversold region, though, reflecting extreme exhaustion among sellers. A crossover and uptick from these levels would be an early signal that buyers are starting to regain the upper hand and that a corrective bounce could be in the cards.

RSI is also approaching oversold territory, suggesting that downside momentum is fading. If the oscillator stabilizes and turns higher from current levels, price could follow suit and begin recovering.

Should the long-term support zone hold as a floor, WTI crude oil could gear up for a bounce toward the $75 to $80 resistance area or higher. The commodity continues to unwind its war premium while the US-Iran ceasefire is holding up and talks are progressing, though the upcoming NFP release could prove to be a wild card for USD.