An overshoot of the 200-period moving average is preferred
Graphically, the price of WTI oil rebounded from the support located at 85 dollars and seems to be currently holding beyond the former support located at 92.50/93 dollars. This configuration allows us to consider a continuation of the acceleration towards the moving average 200 periods, located on the psychological threshold of 100 dollars.
A break of this important technical and psychological level should lead to a further acceleration towards the 38.2% Fibonacci, close to the 100-period moving average and located at 103 dollars per barrel.
A return below $93 would invalidate this bullish scenario and could lead to a return to support at $85.
Admission: Purchase above $95.30
Risk/reward ratio: >3
Follow the evolution of WTI oil with IG.