WTIC Oil Churns as World Leaders and Markets Digest Israel’s Report on Iran

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The price of WTIC Crude Oil (CL) continues to churn in a tight sideways consolidation range as markets and world leaders digest Israel’s latest release of information regarding Iran’s nuclear program.

As shown on the following daily chart of CL, it’s still in uptrend on this timeframe, and this latest consolidation zone (green zone) may be a “bull flag” formation…suggesting higher prices ahead.

If price drops and holds below its near-term support of 66.00, we may see an accelerated level of selling occur. So, keep an eye on the velocity of both the momentum and relative volatility index indicators for confirmation. I’ve shown an input value of 1 day so you get an idea of day-to-day activity in both directions.

Otherwise, watch for a breakout and hold above 70.00 as it, potentially, could reach its next major resistance level of 80.00, as I recently described here.

We may not get clarification one way or the other until President Trump reaches a decision on May 12 regarding the recertification of the JCPOA.