Crude Oil turned massively bullish since April last year, after the big crash to $-37. it climbed more than $105 until the first week of march, but then started pulling back down, particularly after OPEC+ decided to start increasing production.

US WTI crude Oil fell to $57.20s and we made some nice profit during that decline, with a long term sell signal. Although, the improving global economy is improving the sentiment for Oil and WTI moved above $64 last week.

But, sellers returned and they pushed the price below the 50 SMA (yellow) on the H4 chart. Although, the 100 SMA (green) turned into support and Oil has been bouncing off that moving average. The 50 SMA has turned into resistance at the top though, rejecting the price, so Oil seems stuck between these two moving averages now.

This might be  good opportunity to sell Oil, targeting the 100 SMA at the bottom, but we’re holding on for the moment. Liquid gas is coming back to the market now, with several energy companies like British Gas, EDF Energy, NPower, E.ON, Scottish Power etc. which have spent or invest millions of dollars building liquefaction facilities for drawing benefits in the market of liquified natural gas. That will put some pressure on Oil prices as well, so we might go short here, although we will follow the price action a bit longer.