WTI under bearish pressure as CTA liquidation nears end: TD

TD Securities' Ryan McKay and Bart Melek point to ongoing bearish flows in WTI crude oil, though they note that CTA-driven liquidation is approaching its conclusion. High crude volumes transiting the Strait of Hormuz continue to keep sentiment subdued, even as a tightening physical backdrop may limit further downside.

The analysts caution that while selling pressure remains, the completion of systematic selling could pave the way for a shift in momentum if other supportive factors emerge.