WTI oil price surged to new nine-week high at $31.81 on Monday, following break of critical barriers at $29/$30 (daily cloud base / psychological).
June contract, which expires on Tuesday, advanced over $25 on recovery from its $6.52 low and showing no signs of stall.
Optimism over global re-opening that boosted demand, as well as further production cut by main gulf oil exporters, inflate oil prices.
Bulls see no obstacles until $33.74 (16 Mar high), break of which would open next key levels at $36.08 and $36.93 (50% retracement of $65.63/$6.52 / top of thick daily cloud).
Bullish daily studies add to support, with close above $30 to confirm strong bullish signal.
Despite strong rally, traders remain cautious over possibility of the second-wave of coronavirus as well as awareness that demand recovery was not expected to be fast and reach pre-virus levels any time soon.
Res: 32.00, 33.00, 33.74, 36.08
Sup: 31.00, 30.00, 29.00, 28.02
