Crude oil prices are posting modest gains, up over 1.4% on the day.
This rebound comes after prices held up near the 34.42 technical support.
To the upside, WTI crude oil is approaching the price level of 37.67.
A breakout above this level will potentially set the stage for a move toward the 40.00 handle.
The potential of a double bottom pattern near the 34.42 level also adds to the bullish upside.
In the event of price failing to rise above 37.67, we expect some consolidation to take place. This will also potentially put pressure on the support area as well.