Oil Technical Analysis: Cooling down in an uptrend

Oil prices might be cooling down a touch, but the overall long-term uptrend is still very much in play, with the green ascending trend line from December last year still valid. The recent decline could be a welcomed entry level for traders that missed the boat earlier and did not want to head in above $80. Depending on a ceasefire deal and more stockpile buildup, some additional pressure could come for Oil before soaring back to $84.

After its attempt to edge higher, the recent decline makes $83.34 and the $90 handle again the first key levels on the upside. One small barrier in the way is $89.64, the peak from October 20. In case of further escalating tensions, expect even September’s peak at $94 to become a possibility.