WTI Crude Oil Breakout Puts $101 Target in Play
WTI crude oil prices broke above both its downtrend line and 100-day moving average on Tuesday, signaling an extension of its bullish character.
The breakout marked a significant turning point in the market, as it had been trading within a falling trend channel since March. The 100-day moving average was confirmed as resistance during the prior advance in July.
An initial upside target zone is defined by the lower swing high at $94.34 from July, but given the potential significance of Tuesday's advance, it should act as only a resting area on the way to higher resistance zones.
The larger trend structure suggests that WTI crude oil may aim for $101.20, which is near the top of a range that begins near $98.20 and includes the lower swing high from early June at $99.29.