Crude oil spent time in both January and February this year trading below $30 per barrel. Price is now closing in on $50 per barrel. Where will this run higher end? What are the important price locations for traders to know? Glad you asked.
Crude has nearby support established at 46.65 on any pullback with additional robust support at 43.03 – 44.79. The overall bias will remain bullish and pointed toward higher prices while above these supports.
The next upside target is a zone of resistance at 50.91 – 52.91. Any touch to this zone is likely to elicit a reaction to the downside but until and unless sellers are able to break below support zones, any reactions to the downside should be viewed as temporary profit-taking and buying opportunities.