WTI crude oil prices were seen rising to fresh highs last week.

WTI crude oil touched highs of $69.53 before easing back slightly.

The rise in crude oil prices came amid a bullish week supported by the fundamentals.

The crisis from the Middle-East including Yemen and Riyadh, alongside the geo-political situations from Syria sent oil prices higher.

On the other hand, the weekly inventory report showed that the Crude oil stockpiles had posted a drawdown.

This comes after previously, crude oil inventory reports posted strong build-up in the inventories.

Demand for gasoline was also seen rising leading to the drawdown in the weekly inventory report.

Oil prices settled briefly lower by Friday’s close with price action closing in a doji.

We expect to see a bearish follow through on a lower close next week.

The decline in oil prices will likely push lower to test the support level at 65.80 – 65.46 level of support which is expected to see a firm test.

While the overall bias remains to the upside, the decline to 65.80 – 65.46 will be a good opportunity to go long Crude oil as we expect to see further gains coming.

Price action will need to close above the previous highs in order to maintain further gains.

The downside risks comes from the fact that if the support level fails, then we could expect to see further declines in the near term.

A break down below the support level could signal further declines toward the previous lows of 62.00.