On the weekly chart we see that WTI almost from the beginning of the year moves upward in a correction forming a triangle formation. For three weeks we can see dynamic growth and we are now in a very important area of resistance 50.00, breaking it could open way for appreciation even to the region of level 61.00.
However if in the near future there will be a strong bearish move and the market will reject the current zone, then the decline should reach at least to the line of corrective upward trend – the lower limit of the triangle or even to the support area around the 41.00 level.
If we look at the H1 chart we notice that for some time the market moves in the bullish channel but gradually begins to lose momentum. In the vicinity of the aforementioned 50.00 level we could expect strong bearish impulse, which even if does not change the market sentiment in the longer term, it will trigger downward correction for the potential targets – support 48.95 and further demand zone 47.70 – 47.85.
