Crude oil extends higher from tactical breakout

In case you missed it, we highlighted on yesterday's The Charted Line Webinar (January 28, 2026) that WTI Crude Oil futures could sustain a bullish breakout above its declining 200-day moving average and chart resistances in the 62.59-62.20 area. Crude oil closed above this resistance yesterday and has extended higher so far in today's session.

If crude oil can sustain this upward thrust, it would place the focus on the 50% retracement of the June into December 2025 at 66.69. However, yesterday's breakout put in a bottoming pattern that makes the case for a stronger recovery toward 69.45-70.00 (61.8% retracement and the October into January bottoming pattern target).

It would take an immediate reversal below today's low at 63.28 and the breakout zone at 62.59-62.20 to invalidate this tactically bullish pattern for WTI Crude Oil futures.

Chart 1: WTI Crude Oil futures: Daily chart