Sept. 23 (Bloomberg) -- Crude oil is poised for a drop to $61 a barrel after prices fell below a “bearish pennant” formation, according to a technical analysis by Kase and Company.

The bearish pennant that “recently broke lower indicates that major support should be tested at $71.49 and then $70.50 in the near-term,” said Dean Rogers, an analyst at the Albuquerque, New Mexico-based consulting company. “Upon a close below $70.50 a barrel, oil prices will likely drop into the mid- to low-$60 range with $61.20 as the major lower support target.”