Crude oil prices gained over 1.5% intraday on Tuesday.
Oil prices remain firmly entrenched in a sideways pattern. The strong resistance area near 40.36 – 40.50 level is so far proving hard to break.
However, with the OPEC meeting underway, the fundamentals might help to push prices higher.
Still, oil prices will be challenged near the 42.00 handle.
Only a breakout above this level could potentially confirm further gains.
The next main target comes near the 45.00 region. To the downside, the risks are higher.
The lower support level near 38.00 will be tested in case of a decline.