The WTI benchmark managed to climb above the psychological level of 40 USD, which might be a positive bullish sign.
However, the price is now facing the primary resistance of the 200-day moving average, which is near 41 USD. If oil closes above this level on a daily basis, the long-term trend could change to bullish.
Moreover, by closing above the 200MA, oil will have closed the large bearish gap from March. Mission complete!
Supports now seem to be at the psychological level of 40 USD and afterward at 39.80 USD, where previous highs are located. As long as oil trades above these levels, the short-term trend appears bullish.
If oil drops below previous highs of 39.80 USD, it could be a false breakout formation, which is usually a bearish reversal pattern. In that case, the target for oil could be in the 36.50 USD.
So far, it looks good, and oil could advance further if it settles above the 200MA.