Short-term bullish bias
Key levels: downside: 69.75 / upside: 71
The oil price has begun a new round of rally after it cleared the resistance area around 68.50. We could expect a rally as far as above the psychological level of 72. The 20-day moving average is a key support line to keep in mind.
On the 4H chart, the latest bullish MA cross was the signal that optimism has resumed. The 20-period MA acts as a key support level in case of a retracement. The RSI is testing the 70 over-bought line though, we may see a slowdown in the current rally. On the hourly chart, the uptrend has attracted short-term trend followers after having achieved new highs. The previous resistance of 70 could turn into support to gather more buying strength.
69.75 is the immediate support on the downside while more buying pressure may push the price towards 71.