the breakaway gap has been occurred at 46.27 - The bulls interests intensified since then with bullish DMA crossover.
For now, the run-away gap is occurred at 53.13 levels, although momentum seems to have been reduced but the rallies likely to continue.
Last six weeks, the WTI bulls’ attempts of bounce back amid minor hic-ups are well supported by the momentum indicators in the consolidation phase of this energy price.
The break above 51.36 levels evidences bullish environment with a gap up patterns to substantiate this bullish stance, for now, the trend seems to be heading towards $55 levels again with the minor hic-ups.
The bulls’ interests are intensified especially as the current prices remain well above DMAs.
RSI evidences the upward convergence to the price spikes. While stochastic curves have been indecisive but bullish bias.
To substantiate this bullish stance, weekly MACD signals upswings to extend further.
On weekly plotting, we’ve observed bullish DMA crossover to signal the extension of the uptrend.
Hence, we don’t encourage long-term short build ups hereafter; instead, we encourage longs in WTI crude of mid-month expiries for targets of 54.48 levels with strict stop loss of 51.36 levels, thereby, the trade carries attractive risk reward ratio.
