Meanwhile, some of the world’s largest producers continue to pump crude at record levels, with the Organization of Petroleum Exporting Countries maintaining Saudi Arabia’s strategy of squeezing out high-cost competitors.

“Momentum indicators are not particularly bearish or even worrisome. However, we can see a contraction of the day-to-day swings, which is indicative of a tiring trend. It manifests on the chart as a rising wedge formation where the lows rise faster than the highs. Even though everything is still rising, bears seem to becoming more aggressive by selling progressively earlier,” according to Barron’s.

For more information on the oil market, visit our oil category.

United States Oil Fund