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Crude oil prices have been on a tear, but it looks like the commodity is hitting an upside barrier.

Keep an eye out for this chance to buy the dip!

WTI Crude Oil: 4-hour

WTI Crude Oil 4-hour Chart

WTI Crude Oil 4-hour Chart

In case you were too busy catching up on Obi Wan or Stranger Things, you should know that oil prices are on the rise again thanks to the EU decision to ban Russian crude imports.

Finally, right?!

While Hungary posed a setback to a unanimous vote in the past weeks, the bloc seems to have reached an agreement to ban 90% of Russian oil by the end of the year.

This could mean more upside for the commodity, as European nations scramble to fill up their stockpiles in anticipation of an energy crunch down the line.

On its 4-hour time frame, crude oil is still cruising in an ascending channel but is currently hitting resistance at the top. This could pave the way for a correction to nearby support areas, such as the mid-channel area of interest at $116 per barrel.

A larger pullback could still reach the very bottom of the channel closer to $108 per barrel, but technical indicators are suggesting that buyers could return soon.

The 100 SMA is above the 200 SMA, confirming that support levels are more likely to hold than to break, while Stochastic is closing in on the oversold region.

In any case, better keep your eyes and ears peeled for major announcements from the OPEC since any adjustments to their output deal might cause big waves.

This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.