WTI crude oil is trending higher on its 1-hour chart, breaking past the mid-channel area of interest on the rising channel and setting its sights on the top around $72 per barrel.

The 100 SMA is above the 200 SMA to confirm that the path of least resistance is to the upside or that the climb is more likely to gain traction than to reverse. The 100 SMA also lines up with the channel bottom at $70 per barrel to add to its strength as support.

However, the gap between the indicators is narrowing to reflect weakening bullish momentum. Also, stochastic is indicating overbought conditions to signal exhaustion among buyers, so turning lower would suggest that sellers are taking over.

RSI is starting to head down to suggest a return in selling pressure, possibly taking crude oil back to the support levels nearby.

Crude oil remains supported mostly thanks to the OPEC+ commitment to their output deal, even as price trades above $70 per barrel. The upcoming API and EIA inventory numbers would likely spur intraweek volatility for the commodity.

A large draw in stockpiles would confirm that demand is supported or that oversupply is not a concern. On the other hand, a build could signal that purchases are slowing or that supply is elevated.

Risk appetite related to central bank events during the latter part of the week might also impact commodity movements. Recall that the Fed is expected to drop more hints on tapering, but refraining to do so might weigh on the dollar while propping up higher-yielders like commodities.

Revised growth and inflation forecasts are also due, and the latest core PCE price index and CPI figures suggest that an upgrade might be announced. In that case, traders could price in stronger odds of tightening down the line, which might then limit crude oil gains.