WTI Crude oil prices made a strong gain in the early Asian trading session on Monday. Prices, as a result, hit the key level of 40.00.
However, the commodity gave back the gains just as quickly and is down over 2% intraday.
The volatility in crude oil continues and this move could see a possible correction lower.
For the moment, the minor support level at 37.67 might stall the declines.
But in the event of a breakdown lower, we expect oil prices to correct to the 34.42 level.
A lower high will possibly validate this downside bias.