Nymex Crude Oil (CL)

Crude oil's break of 79.69 resistance suggests that recent rebound from 64.23 is still in progress and has resumed. Intraday bias is back on the upside for 61.8% projection of 64.23 to 79.38 from 71.09 at 80.45 next. On the downside, break of 75.90 support will be the first alert that crude oil has topped out and will turn focus back to 71.09 support for confirmation.

In the bigger picture, there is no change in the view that rise from 64.23 is a correction to fall from 87.15 only. Hence, even in case of further rally, we'd expect strong resistance below 87.15 high and bring reversal. On the downside, break of 71.09 will be the first signal that whole fall from 87.15 is resuming for another low below 64.23 towards 50% retracement of 33.2 to 87.15 at 60.18

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