The energy commodity recovered the ground it lost on previous trading sessions, which came from an expected pullback that found support at $81.94, the price reached a 7 year and 4 months high at $88.84, the pair is likely to see a new retracement in the short term as the price enters an overbought status.
The Bollinger bands are wide and they continue to move upwards, suggesting that volatility would be high and that the price will continue the uptrend in the mid-term, the pair is getting closer to the upper band, but as it continues to expand the price is not yet considered relatively high.
The relative strength index is at 71% which is considered overbought, this might bring the price of US Oil a notch or two in the short term as a price correction but the general trend continues to be upwards, we could see the price of Oil in the low 90’s soon.
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