WTI Crude Oil Daily Analysis – July 11, 2017

Oil prices edged up early on Tuesday, boosted in part by a strong demand for the upcoming weeks. However, oil sentiment remains weak due to abundant supplies and an unresponsive position for long-term demand.

Regardless of a deal that led by the Organization of the Petroleum Exporting Countries (OPEC) to cut production from January; crude oil prices are still about 17 percent below their 2017 opening levels.

Technical Outlook

Yesterday, crude oil prices reached an intraday low of $43.77. However, prices rebound and the second half session ultimately settled back flat at $44.40.

Note that the short term hourly crude oil chart has formed “Inverse Head and shoulder pattern”. It can be used for a possible buying opportunities once it breaks above the neckline of $44.85. The upside rally will be extended to reach $45.5-$46 within a short span of time. I would like to emphasize the point that prices are currently hold at the neckline area and may break anytime above.

Crude oil daily candle reflect spinning top candlestick pattern which indicate as a short term bullish reversal move.

My price analysis is that crude oil prices will break above the neckline and reach the $46-$47 level.