Crude oil prices have extended their upward momentum, nearing our previously suggested target of 88.70. A closer analysis of the price chart reveals the completion of a double bottom pattern, which is expected to drive prices past the mentioned level and achieve further positive targets, reaching up to 91.80. This will also contribute to the price’s return to the bullish channel, marking a resumption of the main bullish trend.
As a result, the bullish trend remains the favored scenario for the upcoming period, especially with the price trading above the EMA50. However, it’s important to be cautious, as a failure to breach 88.15 and subsequently 88.70 levels could halt the expected rise and trigger a reversal.
In terms of today’s trading range, we anticipate it to be between support at 86.70 and resistance at 89.80, with the prevailing trend being bullish.
