Crude Oil Trading Range

Since March 2022 Crude Oil has been in a trading range between 126.00 and 92.00. Momentum signals and seasonal patterns suggest a new uptrend may have begun.

The daily Crude Oil chart – (CL2!) – continuous next futures contract in front – courtesy of Trading  View illustrates  the trading range.

First note the double bottom at 92.20 and 92.18. A  break below 92.18 in the next few days or weeks could trigger a significant decline.

Both daily RSI and Stochastics have bullish line  crossovers, so far no MACD signal.  On the bearish side of the coin none of the three momentum indicators had bullish divergences at 07/06/22 bottom.   

Crude Oil seasonal patterns are bullish from July to August.

The next challenge for the bulls  is  to break above the declining  trendline connecting the tops made; 06/14/22, 06/29/22, and 07/05/22.

A  move above the declining  trendline could open the door for a move up to the 120.88 peak.

Published by Mark Rivest

Independent investment advisor, trader, and writer. Articles have appeared on Technical Analysis of Stocks and Commodities , Traders.com Advantage, Futuresmag.com, and Finance Magnates.

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