WTI oil breaks its 200 day EMA

WTI oil has broken during today’s session above the 48.00 level and above the 200 day EMA as shown on the daily chart. Oil accelerates its bullish momentum after Saudi Arabia announced that it will cut its crude production. WTI oil rallies 3.3% and reaches a high of more than a month ago to reach a daily peak at the 48.64 level. Even though WTI oil has broken above its 200 day EMA, the zone may still act as a resistance and the price may try to pullback from there. In case of a pullback, The 47.00 level may act as a support, but if oil goes back to its bearish trend, any of the round number levels all the way to the 42.00 zone may act as support. To the upside, if the rally continues, then the next resistance level may be the 50.00 level.