Wednesday this week witnessed the WTI Crude Oil make a new 41-month high at 68.88 after rebounding from the significant resistance area around 66.57 (Jan 25 peak, Mar 26 high). From a broader perspective, bullish momentum remained quite robust when the 66.57 barrier was broken to the upside as well as when prices traded off this level to 68.88. Coupled with the RSI having not reached the overbought territory, my premise on the USOIL continues bullish. The next resistance zone is defined in the vicinity of 75/77.00 (spotted on the weekly chart). Alternatively, a retest of the 66.57 level resistance-turned-support with a strong bearish bias will demand a reassessment as to the possibility of a further decline to the trendline stemming from Feb 14.
Comment:
Bullish momentum remains good. Watch for Pullback setups.
Trade active:
The WTI benchmark's stall has been broken to the upside. Look for a bullish move next week.