- Oil prices may have some juice to the upside still.
- There is a bearish bias on the medium term outlook.
WTI is heavy given the 100+% move since last November.
However, from a weekly perspective also, the price is finding some solid support at a firm structure around the late March highs of 62.25.
However, from a daily perspective, the price has corrected nicely to test bear’s commitments at a 38.2% Fibonacci retracement and towards old daily closes.
The price is on course for a 50% mean reversion confluence near 62.70.
This would be expected to hold initial tests and would consequently put a downside extension on the table as the most probable outcome at that juncture for the sessions ahead.
60.20 is in focus in that respect.