OIL accelerated higher on Thursday, and more importantly closed well above the upper parallel trend-line of a base channel. That's a very strong indication of an impulsive recovery, as this break (circled) usually occurs in the middle of a wave three of a five wave rally.

As such, we have now turned bullish on crude. If we are correct, then price will reach higher levels, possibly around 95.00 this week, especially if we consider that pull-back from the top already has signs of a corrective movement. Ideally thats wave iv) of an impulsive uptrend. Support comes in around 91.50; at 38.2% Fibo level.

Analysis by: http://www.Forexpros.com - Written by Gregor Horvat Forexpros

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