WTI climbs above 161.8% Fibo Extension at $119.40, $147.30 eyed

• WTI has settled above 161.8% Fibonacci extension at $119.40.
• The RSI (14) is oscillating in a range of 60.00-80.00, which adds to the upside filters.
• Bulls are now eyeing 14-year old resistance at $147.30.

West Texas Intermediate (WTI), futures on NYMEX, eyes more upside as oil prices have surpassed the 161.8% Fibonacci extension at $119.40, which is placed from the 2018’s high of $76.80 to 2020’s low of $8.46.

At the press time, WTI prices are trading at $125.65, 9.3% above Friday’s close.

On a weekly scale, the oil prices have witnessed a firmer rally after piercing the trendline placed from March 12 high at $67.86 adjoining the July 09 high at $76.40 and October 29 high at $84.97 respectively. The 20-period and 50-period Exponential Moving Averages (EMA) are trading at $88.56 and $76.67 respectively, aiming north, which adds to the upside filters. The black gold has been scaling higher since the bullish crossover of 20 and 50 EMAs at $42.56.

The Relative Strength Index (RSI) (14) is oscillating in a range of 60.00-80.00, which indicates a continuation of a bull run as long as the oscillator sustains inside the bullish range.

To elevate gains, bulls need to violate Monday’s high at $125.00. Breach of the same will send the pair towards May 2008 high at $135.10 and July 2008 high at $147.27.

On the flip side, bulls can lose confidence if the black gold slips below Monday’s low at $113.13. This will drag the pair towards Thursday’s low at $104.83 and Tuesday’s low at $94.49.

WTI Oil weekly chart