Oil Returns The Support Line of The Ascending Price Channel 31/1/2022

Positive moves are still trying to control US crude oil futures’ price movements and consolidate its gains after it succeeded in retesting the support line of the ascending channel around 86.70.

Technically, the current movements of oil prices are witnessing intraday stability above 87.00. We find the stochastic indicator still provides positive signs that come in conjunction with the positive stimulus coming from the 50-day moving average.

The movement within the bullish price trend makes us believe that the bullish trend is still valid, knowing that 88.90 might be the next stop, which may extend its targets later towards 90.00 as long as the price is stable in general above 86.60.

Note: The risk level is high.

Note: CFD trading involves risks; all scenarios may occur.

S1: 86.55	R1: 88.90
S2: 85.30	R2: 90.05
S3: 84.15	R3: 91.30