Cheap crude days are gone

WTI has been trapped inside a descending channel since 2022 highs

That channel is now being tested from below

Price formed a clean double bottom around 55 and hasnt looked back since

The 63 horizontal support held multiple times on the weekly and became the launchpad for this breakout attempt

Now with Iran escalation in play the geopolitical risk premium isnt going anywhere soon

Strait of Hormuz traffic is freezing up
Thats a third of global seaborne crude exports

If WTI closes above this descending trendline on the weekly we are looking at 83-85 as the first real target

Bears who got comfortable shorting crude below 60 are about to learn an expensive lesson

Sectors heavy on fuel costs like airlines and shipping are the obvious shorts here
Energy names and defense are the longs

This isnt just a spike
The structure is shifting

Dont fight the trend when war is the catalyst