Crude Oil Futures
Long

Tightening Triangle Signals Major Move Ahead for Crude Oil

65
Chart Overview (30-Minute Timeframe)

Instrument: Crude Oil Futures (OIL)

Current Price: ~$64.77

Recent Trend: Strong bearish drop followed by consolidation



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🔺 Key Patterns & Structures Identified

1. Descending Triangle (Current Price Action)

The current price is tightly compressed within a descending triangle, with a horizontal support near $64.70 and a descending trendline from the recent highs.

Bearish bias is typical in this pattern, but a breakout to the upside is possible, especially with bullish volume or news catalysts.


2. Previous Breakdown

A sharp decline occurred from a resistance zone around $78.00 (highlighted in red).

This breakdown was decisive and fast, breaking through former support levels (green zone around $68–$69).


3. Support Zone Holding

The support at ~$64.70 has been tested multiple times but is still holding, suggesting buyer interest at this level.


4. Volume/Volatility Contraction

Price is consolidating in a tight range between ~$64.5 and ~$65.3.

This compression of volatility often precedes a significant breakout or breakdown.



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🔁 Possible Scenarios

✅ Bullish Breakout

Trigger: Break above the descending trendline (~$65.3–$65.5).

Target: Revisit prior support zone at $68.00, possibly higher.

Confirmation: Strong bullish candle with increased volume.


❌ Bearish Breakdown

Trigger: Break below horizontal support at ~$64.70.

Target: Possible drop toward $62.00–$61.00, depending on momentum.

Confirmation: Strong bearish candle closing below support with high volume.

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