Crude oil futures are selling and $73.96 up $0.83 or 1.13%. The settlement price is the highest since October 11. Cold weather, and Chinese policy support are being cited as reasons for the rise today and for the trading week. This week the price has risen by $4.13 or 5.5%.

Looking at the daily chart, the price moved back above its 100-day moving average at $70.68 earlier this week. The price also moved above a trendline connecting highs from July 5th and October 8th. On the upside, the 200 day moving average remains as a objective at $75.38. Back on October 8, the price broke above that moving average but could not sustain the momentum and moved back toward the lows for the year (the low price was subsequently reached on November 18 at $66.59).

Going forward and into next week, getting back above that 200-day moving average and staying above would be a bullish technical development.

This article was written by Greg Michalowski at www.forexlive.com.