Oil finished Friday up just +$0.45 cents (+0.82%) despite the Iranian surplus news last week. We are feeling a bit more confident on a gold rally as it has broken out of the bearish flag pattern showing investors are in good faith over the trade war and OPEC keeping prices down.
On the technical side, we saw Oil creep with low momentum, telling us this could be a possible extension of the correction and not an actual rally. However, we are bullish because it did close above on negative news. We still have an overall $61.00 target. If trade talks with U.S and China stay in working good order we could see Oil pop beyond $61.00 before the years out.
THE PLAY: A bounce on the top of the downward trendline (in yellow) for a rally higher or small bullish correction pattern forms before taking intraday buys.
On the technical side, we saw Oil creep with low momentum, telling us this could be a possible extension of the correction and not an actual rally. However, we are bullish because it did close above on negative news. We still have an overall $61.00 target. If trade talks with U.S and China stay in working good order we could see Oil pop beyond $61.00 before the years out.
THE PLAY: A bounce on the top of the downward trendline (in yellow) for a rally higher or small bullish correction pattern forms before taking intraday buys.