CRUDE OIL: Following its third-day of upside gains after recovering off the 67.82 level on July 30'09, Crude Oil was seen strengthening today leaving its minor resistance at 72.14 as the next upside target. A clean cut through that level will open up further upside risk targeting the 73.37 level, its YTD high with a loss of there resuming its medium term uptrend triggered off the 35.66 level, its Feb'09 low towards its .382 Ret at 77.87( 14779-25.66 declines). Its daily and weekly RSI are positive and pointing higher supporting this view. This view is consistent with crude oil's medium term uptrend now. On the contrary, halting its current strength and turning lower will initially target the 68.93 level, representing July 27'09 high where a cap is expected. But if that level snaps declines should develop towards the 64.94 level where its July 31'09 low is located followed by the 63.80 level, its July 22'09 low. On the whole, with Crude Oil still holding on to its gains triggered off the 67.82 level, further upside prices are envisaged.
Join the Discussion