Oil attacks the ceiling of a positive technical pattern. - Technical Analysis - 04-01-2016

Crude oil prices rose in their intra-day levels trading, with the beginning of the new year and the week; attacking thereafter the ceiling of a positive technical pattern that is currently forming, which it the Inverse Head and Shoulders patter as shown in the attached chart, along with positive support from the simple moving average for the period 50, and an influx of positive signals from relative power indicators.

 

Therefore we expect the crude to achieve more gains, as long as it breaches the ceiling of that forming technical pattern, confirming it, and targeting after it the resistance of 40.90.