Crude oil prices could be set for another major move higher, as dip-buying interest still remains strong.
Crude oil technical analysis shows that multiple bullish patterns are pointing to more upside.
Crude oil medium-term price trend
Crude oil prices have recently been enjoying strong dip-buying interest, as the rally in the oil market shows few signs of stopping.
Improving risk-on trading sentiment in financial markets is also complementing the positive technical backdrop.
Crude oil price analysis shows that bears are in control while the price trades under the $36.00 level.
The daily time frame shows that a bullish reversal pattern is pointing towards more gains towards the $56.00 resistance area.
Watch out for more medium-term gains towards the mentioned bullish target while the price trades above the neckline of the bullish reversal pattern, around the $36.00 level.
Crude oil short-term price trend
Crude oil technical analysis shows that a short-term bullish bias remains in play while the price trades above the $34.20 level.
Crude oil technical chart analysis on the four-hour time frame shows that a bullish inverted head-and-shoulders pattern has formed.
The inverted head-and-shoulders pattern on the lower time frames indicates a coming rally towards the $46.00 resistance zone.
Traders should be aware that the neckline of the pattern is located around the $40.50 level.
Watch out for the next major push higher to begin once the price crosses above the $40.50 level
Key technical support in the short term for crude oil is located around the $37.50 and $36.00 levels.
Crude oil technical summary
Crude oil technical analysis shows that multiple bullish reversal patterns are pointing to more short and medium-term upside. The $46.00 level remains the near-term upside target.
