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This week, the quotes of WTI Crude Oil resumed their decline and are now approaching the 75.00 mark, remaining under pressure from the difficult epidemiological situation in China, the main global importer of "black gold".

The change of course of the authorities from the policy of "zero tolerance" to COVID-19 and tightening quarantine measures to the gradual opening of the country to travelers, which was perceived by investors as a guarantee of economic growth, has so far had the opposite effect: the number of coronavirus infections is only increasing, which leads to limited mobility, pressure on demand and a decrease in business activity. Thus, according to the latest data from the National Bureau of Statistics (NBS), the index of business activity in the country's manufacturing sector in December decreased from 48.0 points to 47.0 points, and the indicator from Caixin — from 49.4 points to 49.0 points, while bidders calculated 48.8 points. In addition, investors are alarmed by the decision of the Chinese authorities to increase export quotas for petroleum products, which is perceived as a sign of weakening domestic demand for fuel.

Today, the market is waiting for the publication of the minutes of the last meeting of the US Fed, which may have an impact on the further dynamics of energy prices. The continuation of the course of tightening monetary policy will only increase pressure on the American economy and contribute to a decrease in the consumption of gasoline and other petroleum products. If the regulator discusses the suspension of the interest rate adjustment, the quotes are likely to resume the upward trend.  

Technically, the key for the "bears" remains the 75.00 mark in the center of the Murray trading range, consolidation below which will act as a catalyst for further decline of the instrument to the levels of 71.88 (Murray level [-1/8]) and 70.25 (the area of December lows). If the price consolidates above 78.12 (Murray level [1/8]), the movement will continue to the area of 81.25 (Murray level [2/8]), 84.38 (Murray level [3/8]), 87.50 (Murray level [4/8], Fibo retracement 61.8%).

Technical indicators signal the continuation of the current trend: the Bollinger Bands are horizontal, the Stochastic has reversed downwards, and the MACD histogram is increasing in the negative zone.

Resistance levels: 78.12, 81.25, 84.38, 87.50. | Support levels: 75.00, 71.88, 70.25.