Crude oil price analysis shows that the price of crude oil could explode higher if the $63.40 resistance level is breached with conviction.
Traders are turning more bullish towards crude oil as the conflict between Iran and the United States causes commodity prices to rise across the board.
Crude Oil medium-term price trend
Crude oil price analysis over the medium term shows that a major bullish technical shift is currently underway.
A golden-cross has occurred on the daily time frame, with the 50-day moving average crossing over the 200-day, signifying a major bullish trading signal.
With this in mind, price is approaching the 61.8 Fibonnaci retracement of the 2018 low to the 2018 trading high, around the $63.50 level.
Traders should note that crude oil has limited technical resistance above the $63.50 level until the $69.00 level. Failure to hold gains the $63.50 level could provoke a correction back towards the $59.50 region.
With the fundamentals and the technicals aligning, watch out for a price guidance around the $63.50 level this week.
Crude oil short-term price trend
Crude oil price technical analysis highlights that the short-term bullish trend is strong while price trades above the $60.00 level.
The lower time frames are currently showing that a bearish head and shoulders pattern has been invalidated with price now trading above the $63.40 level.
Short and medium-term technical analysis are both highlighting that the $63.40 to $63.50 region is absolutely critical this week.
Traders should also be aware that the invalidation target of the bearish head and shoulders pattern would take crude oil towards the $70.00 region.
It is noteworthy that key short-term support for crude oil currently located at the $62.50 and 61.30 levels.
Crude oil technical summary
Crude oil price analysis shows that a major breakout has occurred above the $63.40 to $63.50 technical resistance area.
The $69.00 to $70.00 area could be an achievable medium-term upside target.
