Bull Wedge in Oil

8 Haz 2022

Oil is tending to highs, forming a bull wedge pattern. The Kovach OBV has slumped a bit, suggesting a slight bear divergence. We are facing some resistance at $120, the upper bound of the wedge pattern. If we break out, we are set to hit $122, relative highs, and are clear to press higher after that. If we do retrace, then $116 should provide support, then there is a vacuum zone down to $113. While oil may continue the range between $116 and $120 for now, there is nothing fundamentally that leads us to believe we can expect lower prices any time soon.