The daily chart shows that WTI crude oil has formed a rising wedge pattern, which is a continuation pattern that suggests a further upward movement after a brief consolidation or correction. The upper trendline of the wedge acts as a dynamic resistance, while the lower trendline provides a support. The price is currently testing the upper trendline, and a breakout above it could signal a strong bullish impulse and a potential target of $80 per barrel or higher⁴.
The RSI indicator is hovering around the overbought territory, indicating a high buying pressure and a possible exhaustion of the bulls. However, the MACD indicator is still positive and rising, suggesting that the bullish momentum is intact and that the price could continue to climb higher. A bullish crossover of the MACD and the signal line could confirm the breakout and the uptrend continuation⁴.
The weekly chart shows that WTI crude oil has also formed a cup and handle pattern, which is a bullish reversal pattern that indicates a change in the long-term trend from bearish to bullish. The cup is a rounded bottom that represents a period of accumulation and consolidation, while the handle is a downward-sloping channel that represents a final pullback before the breakout. The neckline of the pattern is around $76.50 per barrel, and a decisive close above it could trigger a powerful rally and a potential target of $90 per barrel or higher⁴.
The RSI indicator is above 70, indicating a strong bullish momentum and a possible overbought condition. However, the MACD indicator is positive and rising, suggesting that the bulls are still in control and that the price could maintain its upward trajectory. A bullish divergence of the MACD and the signal line could reinforce the breakout and the trend reversal⁴.
In conclusion, WTI crude oil has a bullish outlook based on the technical analysis of the daily and weekly charts. The price is trading above the key moving averages and has formed bullish continuation and reversal patterns that indicate a further upside potential. The indicators are also supportive of the bullish scenario, although some caution is advised as the price is approaching the overbought levels. A breakout above the upper trendline of the wedge and the neckline of the cup and handle could confirm the bullish signals and open the door for higher targets.
Source: Conversation with Bing, 14/11/2023
(1) Crude Oil Price Today | BRENT OIL PRICE CHART | OIL PRICE PER BARREL .... markets.busines...ities/oil-price?type=wti.
(2) WTI Crude Oil Prices - 10 Year Daily Chart | MacroTrends. www.macrotrends.net/...10-year-daily-chart.
(3) Crude Oil Prices - 70 Year Historical Chart | MacroTrends. www.macrotrends.net/...price-history-chart.
(4) WTI Crude Oil Price Charts | Oilprice.com. oilprice.com/oil-price-charts/45.
The RSI indicator is hovering around the overbought territory, indicating a high buying pressure and a possible exhaustion of the bulls. However, the MACD indicator is still positive and rising, suggesting that the bullish momentum is intact and that the price could continue to climb higher. A bullish crossover of the MACD and the signal line could confirm the breakout and the uptrend continuation⁴.
The weekly chart shows that WTI crude oil has also formed a cup and handle pattern, which is a bullish reversal pattern that indicates a change in the long-term trend from bearish to bullish. The cup is a rounded bottom that represents a period of accumulation and consolidation, while the handle is a downward-sloping channel that represents a final pullback before the breakout. The neckline of the pattern is around $76.50 per barrel, and a decisive close above it could trigger a powerful rally and a potential target of $90 per barrel or higher⁴.
The RSI indicator is above 70, indicating a strong bullish momentum and a possible overbought condition. However, the MACD indicator is positive and rising, suggesting that the bulls are still in control and that the price could maintain its upward trajectory. A bullish divergence of the MACD and the signal line could reinforce the breakout and the trend reversal⁴.
In conclusion, WTI crude oil has a bullish outlook based on the technical analysis of the daily and weekly charts. The price is trading above the key moving averages and has formed bullish continuation and reversal patterns that indicate a further upside potential. The indicators are also supportive of the bullish scenario, although some caution is advised as the price is approaching the overbought levels. A breakout above the upper trendline of the wedge and the neckline of the cup and handle could confirm the bullish signals and open the door for higher targets.
Source: Conversation with Bing, 14/11/2023
(1) Crude Oil Price Today | BRENT OIL PRICE CHART | OIL PRICE PER BARREL .... markets.busines...ities/oil-price?type=wti.
(2) WTI Crude Oil Prices - 10 Year Daily Chart | MacroTrends. www.macrotrends.net/...10-year-daily-chart.
(3) Crude Oil Prices - 70 Year Historical Chart | MacroTrends. www.macrotrends.net/...price-history-chart.
(4) WTI Crude Oil Price Charts | Oilprice.com. oilprice.com/oil-price-charts/45.