On Friday, WTI crude oil prices surged in Asian session and extended gains into a fourth straight day over rising Middle East tensions. By the time of writing this, crude oil is trading over $63 resistance, which is now working as a support.
The jump in oil prices began after as the latest tweet of Saudi Arabia’s vice-minister of defense and brother of the country’s de facto ruler Khalid bin Salman said that Iran ordered a drone attack.
Consequently, investors are concerned that the world’s largest oil-producing country wants to move toward with another battle and has chances to further increase oil prices.
Technically, crude oil has violated long-held sideways channel which kept oil prices under $63. Earlier today, crude oil has broken the range to trade above $63.
For now, $62.95 level is likely to work as support now, as the pair is heading north for $64. So, the idea is to stay bullish over $63 support. Good luck!