Technical analysis update: WTI oil (15th September 2021)

USOIL reached our short term price target of 72.50 USD today. We still remain bullish on USOIL. Because of that we would like to set new short term price target for USOIL to 75 USD per barrel. Our medium price target is 77.50 USD and long term price target is 80 USD.

Technical analysis
MACD is very bullish as it performed crossover above 0 points and entered a bullish zone (as we previously predicted). This strongly bolsters bullish case for USOIL. In addition to that RSI and Stochastic are also bullish. However, ADX contains low value suggesting neutral trend is present at the moment. Price of USOIL currently trades too far from its 20-days SMA which raises (immediate/short-term) concerns about retracement towards the SMA. Despite that we continue to be bullish on WTI oil (in big picture) and we expect higher price. Short term support sits around 70.50 USD while medium term support sits around 65 USD. Then major support appears around 61.50 USD and closest resistance at 74.21 USD while major resitance sits at 76.95 USD.

Our prior thoughts from a week ago:

Here we noted that we were closely watching MACD for crossover above 0 points. We also noted that we were looking for breakout above short term resistance.

Disclaimer: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as basis for taking any trade action by individual investor. Your own due dilligence is highly advised before entering trade.

Trade closed: target reached