The WTI Oil has managed to extend the latest gains and looks determined to hit fresh new highs in the upcoming period. Has jumped much above the $51.50 per barrel, signalling that the bulls are in full control, should climb even higher if the United States Crude Oil Inventories will come in line with expectations or worse.
The US Crude Levels could drop to -0.1 million barrels in the previous week, much below the 0.9M in the previous reporting period.
The current rebound was expected as the rate has found strong support right below the upper median line (UML) of the major descending pitchfork and below the 50% Fibonacci line of the ascending pitchfork. Has become strongly bullish after the rejection from the major confluence area formed by the upper median line (UML) with the 50% line, the next upside target will be at the upper median line (uml) of the ascending pitchfork, he could try also to approach the first warning line (WL1) of the major descending pitchfork in the coming weeks.
Remains to see how will react when will touch the upper median line (uml), a breakout is favored after the failure to drop towards the median line (ml) of the ascending pitchfork. Could find temporary resistance at the upper median line (uml) and could retreat a little after the retest because will need to recapture more directional energy to be able to jump above the 55.21 swing high.