Oil receives positive signals 5/12/2025

An upward trend dominated WTI crude oil futures in the previous session, with the price beginning to test the psychological resistance at $60.00.

Technical Outlook – 4-Hour Timeframe:

Oil is moving along a minor ascending trend line while maintaining stability above the 50-period simple moving average, which continues to act as solid support and strengthen bullish momentum. The Relative Strength Index (RSI) is also providing positive signals that reinforce the upward bias.

As long as the price remains above $59.00, the possibility of extending the upward move remains intact. A confirmed break above the $60.00 resistance level may pave the way for gains toward the next target at $60.60.

However, holding below $59.00 could temporarily weaken the bullish scenario and put prices under downward pressure, opening the door for a potential retest of $58.30.

Warning: Today we await highly significant U.S. economic data, including the monthly and annual core Personal Consumption Expenditures (PCE) Price Index and the preliminary Michigan Consumer Sentiment Index. High volatility may occur around the time of the release.

Warning: Trading risks remain elevated amid ongoing geopolitical and trade tensions, and all scenarios are possible.

Trading in CFDs involves high risk, and therefore all scenarios are subject to potential outcomes. The analysis provided above is not a recommendation to buy or sell but rather an illustrative reading of price action on the chart.

S1: 58.85	R1: 60.00
S2: 58.25	R2: 60.60
S3: 57.70	R3: 61.20