Brent crude oil futures for February printed six positive daily closes and added more than 7% to its performance extending their gains to a 2-½-year high of 67.06. The upward tendency started after the retest of the ascending trend line, which has been holding since October.
The next level to have in mind is the 161.8% Fibonacci extension level at 68.15, with the low at 62. and the high at 65.80. On the downside, if the price fails to rise further, it could hit again the 65.80 support barrier and then continue its bullish movement.
From the technical point of view, in the very short-term timeframe, the three simple moving averages are pointing up, while the technical indicators are holding within the overbought zones. The RSI indicator is flattening and the MACD oscillator is moving higher above its trigger line.
Having a brief look on the daily timeframe, the RSI is trying to jump above the 70 level and the MACD is standing above the zero and trigger lines, indicating that the outlook for the next few days is a further upside potential move.
