WTI oil futures have pierced above the 100 dollar per parrel mark after starting the day with a quarter of a dollar gap higher, before rocketing past the previous multi-year high of 95.00. The ascending simple moving averages (SMAs) are endorsing the uptrend from the 14-week low of 62.25, reinforcing the broader positive structure.
The soaring Ichimoku lines are indicating that bullish forces continue to remain fired up, while the short-term oscillators reveal no signs of vulnerability in positive momentum. The MACD is some distance north of the zero mark and has thrusted back above its flattened red trigger line, while the RSI is improving above the 80 level. The positively charged stochastic oscillator is promoting additional gains in the black liquid.
If buying pressures persist, the 100.00 psychological mark, even though having been slightly breached, could somewhat weigh on the price. In the event this critical border is clearly overthrown, the price of the commodity may then aim for the 101.78 obstacle and the 103.36 high, identified back in the later part of July 2014. Surpassing these barriers could then open the door for the bulls to pursue the 105.00 level.
In the event upside pressures subside and the price retreats below the 100.00 mark, a more profound withdrawal beneath would be needed to reveal where the next support currently stands, which is at 94.90-96.00. If a deeper correction develops, the red Tenkan-sen at 93.92 may provide some downside friction ahead of the 90.63-91.20 support band, existing between the latest trough and the blue Kijun-sen line respectively. Sinking further, the 87.45 low and the 87.00 handle could provide some footing for the commodity.
Summarizing, WTI oil futures are exhibiting a powerful bullish bias above the 90.63 trough and the SMAs. For negative forces to gain an advantage, the price would need to sink below the 87.45 trough.
