For now, I have to continue to call the major (long-term) trend of the crude oil market up. The contract ended May at $66.32, just off its monthly high of $67.52 and within sight of its previous 4-month high of $67.98. Fundamentally the market remains bullish, as indicated by its inverted forward curve out through at least December 2024 (see second chart on website). Given this, and despite indications the secondary (intermediate-term) trend has tried to turn down, the market could try to push to a new 4-week high early in June. Monthly stochastics remains well above the overbought level of 80%, meaning it’s possible crude oil could post a double-top.
Again, it’s a difficult market from a technical point of view with the key factor being long-term bullish fundamentals.
