WTI Crude oil had a jumpy week, but still managed to close the week in the positive zone. Friday’s burst to the upside was perhaps led by the news that there could be possibility of the US president to meet with North Korea’s leader. Also, the US oil rig count declined on the weekly basis, which also lead to the price of crude jumping higher.
Judging by the strong daily candle on Friday last week, we believe that the tendency to the upside could continue at least in the first half of this week. We could see a push towards the downwards moving trendline that started on the 2nd of February. A test of the trendline from underneath and potentially a break could lead to 64.25 or even to 66.55, around January’s high.
On the other hand, if the above-mentioned trendline proves able to withhold the price from breaking it, then a move back down to the 60 level is possible. A break below that psychological number could push the price to the 58 mark.
For now, we are waiting for a move outside of the triangle.