Crude Oil Making Strong Gains

Oil prices achieved noticeable gains during the previous session after it succeeded in confirming the breach of the resistance level of 52.70 and then 53.20, heading to touch the first official leg of 55.00, to record the highest level around 55.20.

Technically, with the regularity of work inside the bullish price channel as shown on the chart, which is supported by the positive stimulus coming from the 50-day moving average, coinciding with the RSI indicator providing a positive signal.

Therefore, we maintain the positive outlook, continuing towards the second target of the previous report, 55.60 / 55.70, and then 56.30 next stop.

Activating the suggested bullish scenario requires price stability above 53.70 support.

Note: Oil Inventories Data from the International Energy Agency is due today and we may witness high volatility in prices.

S1: 53.80	R1: 55.60
S2: 52.70	R2: 56.30
S3: 52.00	R3: 57.40