Recently, oil prices have been quite volatile, and the crude oil market experienced a significant decline yesterday. WTI fell by 3.43% to $59.76 per barrel, Brent also dropped by 3.43% to $64.24 per barrel, and domestic crude oil futures declined by 0.89% simultaneously. The main reasons are the explosive EIA refined product data and the Fed's delayed interest rate cut expectations, which have scared off some funds.

From a technical perspective, the current situation is quite delicate. WTI has broken below the $60 level, while Brent is hovering near the $64 support level, both being suppressed by the daily MA5. Indicators show that the KDJ has retreated from the overbought zone, and RSI is turning downward, indicating that the short-term upward momentum is insufficient. The market is presenting a typical oscillation pattern, with participants generally in a wait-and-see stance.

Looking at supply and demand, OPEC+ has paused its production increase plans for 2-3 months to support oil prices, and the situation in Iran still carries geopolitical risk premiums. However, crude product inventories are accumulating, the Fed's delayed rate cuts have strengthened the dollar, and IEA's pessimistic demand outlook are all factors suppressing oil prices. The game remains very tense, with clear bearish signals in the fundamentals.

For trading strategies, in the short term, you can consider range-bound buying and selling: WTI between $59.5-61, Brent between $64-66, with stop-losses set at $0.6. For medium-term, wait for clear breakout signals—buy on a confirmed breakout, and consider shorting if it breaks down. However, position sizes should be strictly controlled within 30%, focusing on the EIA data on the 18th and the Iran situation. It’s best not to hold positions over the weekend. Stick to stop-losses when necessary, and don’t be greedy with profits.