Recent COT data shows a decrease in short interest from commercial money, potentially signaling a shift in sentiment.
Seasonal trends also support a bullish outlook for oil, with historical data indicating a strong price rise between February 7 and March 5. Over the past 34 years, oil has gained 69.7% of the time, with an average increase of 4.79%.
From a technical standpoint, the price has broken higher from a corrective channel, suggesting further upside potential. A move toward the early 2025 highs of 80.44 could be on the cards. A breakout above this level would confirm a large bottom formation, paving the way for further gains in the months ahead.
Trade setup: Buy on dips to 72.26, with a stop loss at 69.90, targeting a move to 80.44.
Seasonal trends also support a bullish outlook for oil, with historical data indicating a strong price rise between February 7 and March 5. Over the past 34 years, oil has gained 69.7% of the time, with an average increase of 4.79%.
From a technical standpoint, the price has broken higher from a corrective channel, suggesting further upside potential. A move toward the early 2025 highs of 80.44 could be on the cards. A breakout above this level would confirm a large bottom formation, paving the way for further gains in the months ahead.
Trade setup: Buy on dips to 72.26, with a stop loss at 69.90, targeting a move to 80.44.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.