As previously expected, Crude bounced off 95 (95.10 to be exact) and it bounced off with gusto, to reclaim 100 support. The bounce was a fast intraday check-in at 95, and the following day clocked a bullish engulfing of sorts. This was then followed by another bullish day to end the week with a long lower tail, indicative that between 95 to 100, likes a lot of demand.
The daily technical indicators are starting to crossover.
This recovery bounce is also awesome as it broke down and out of the triangle and then returned back in. For technical analysts, we do know that when this happens, there is a higher probability that there will be an exit on the other side... ie. a breakout is imminent.
Note that the triangle was updated by readjustment from previously.
In the weekly chart, while the technical indicators are still trudging lower, the candlestick shows a temporary spike out of the triangle only to make it back in. This is a bullish indication IMHO.
Taken together, expect the bullish run to meet some resistance about 112-114 in the following days of the incoming week. There needs to be a higher low, that bounces off the triangle support... and then we just might get a bull run breakout in early August 2022.
Watch this one!
ps. Target breakout (dotted green arrow) and upside target of 165 updated. Pennant pattern (fibonacci) projection also added (dashed green arrow)
The daily technical indicators are starting to crossover.
This recovery bounce is also awesome as it broke down and out of the triangle and then returned back in. For technical analysts, we do know that when this happens, there is a higher probability that there will be an exit on the other side... ie. a breakout is imminent.
Note that the triangle was updated by readjustment from previously.
In the weekly chart, while the technical indicators are still trudging lower, the candlestick shows a temporary spike out of the triangle only to make it back in. This is a bullish indication IMHO.
Taken together, expect the bullish run to meet some resistance about 112-114 in the following days of the incoming week. There needs to be a higher low, that bounces off the triangle support... and then we just might get a bull run breakout in early August 2022.
Watch this one!
ps. Target breakout (dotted green arrow) and upside target of 165 updated. Pennant pattern (fibonacci) projection also added (dashed green arrow)
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