FUNDAMENTAL OVERVIEW Oil prices continue to be skewed to the upside in the short-term as the renewed US-Iran crisis is keeping the geopolitical risk elevated, especially heading into the weekend. The traffic in the Strait of Hormuz is basically back to pre-ceasefire level after the US reimposed the naval blockade and Iran followed suit. There is some good news that is keeping hopes for a quick de-escalation alive and limiting the surge in oil prices. For example, yesterday the Iranian top negotiator said that the door for diplomacy was still open despite the recent escalation. Trump said on Fox Business that Iran wants to meet and make a deal and that he would prefer to solve the dispute diplomatically. Today, on his Truth Social account, Trump announced the release of an American citizen and added that the United States appreciates this gesture of goodwill by Iran. Although this is smoothing out the upside momentum in crude oil, without a clear de-escalation the downside will remain limited, and prices might continue to edge higher. Everyone is waiting for the ultimate TACO, but Trump's pain threshold is likely at higher levels. CRUDE OIL TECHNICAL ANALYSIS – DAILY TIMEFRAMEOn the daily chart, we can see that crude oil broke above the key resistance zone around the 78.00 level, opening the door for a move into the next major trendline around the 88.00 handle. We can expect the buyers to continue to step in around the resistance-turned-support with a defined risk below it to keep targeting new highs. The sellers, on the other hand, will want to see the price falling back below the support to pile in for a drop back into the 68.00 level. CRUDE OIL TECHNICAL ANALYSIS – 4 HOUR TIMEFRAMEOn the 4 hour chart, we can see more clearly the consolidation at the support as traders await new catalysts or technical breakouts to push the price in either direction. If we get a downside break, we can expect the sellers to extend the drop into the minor upward trendline around the 75.00 level. If the price gets there, the buyers will likely lean on the trendline with a defined risk below the trendline to position for a rally into the 88.00 level next.CRUDE OIL TECHNICAL ANALYSIS – 1 HOUR TIMEFRAMEOn the 1 hour chart, we can see the recent consolidation has formed a potential bullish pennant. The price will need to break to the upside to confirm the pattern. If that happens, the buyers will likely increase the bullish bets into the next major trendline around the 88.00 level. The sellers, on the other hand, will need to wait for the price to fall below the support to open the door for new lows and target a pullback into the minor upward trendline. The red lines define the average daily range for today. UPCOMING CATALYSTSToday, we get the US Retail Sales and Jobless Claims data. Tomorrow, we conclude the week with the University of Michigan Consumer Sentiment survey. The market focus remains on US-Iran headlines. This article was written by Giuseppe Dellamotta at investinglive.com.