Crude oil price yesterday could not surpass 73.20 to return and trade around the breached resistance level for the minor downside channel, shown in the image above. We can also notice that the daily close was above the breached level – shown in the secondary image – which ensures the continuationof the intraday inclinetoday, supported by the stochastic nearing oversold areas. The primary upside targetsare at 76.00 then 78.60, confirmed by a daily close above72.20 to maintain chances of achieving a short term incline and canceling the possibility of returning to trade within the previous downside channel.
The trading range for today is among the key support at 67.00 and the key resistance at 77.40.
The general trend is to the upside as far as 47.20 remains intact with targets at 85.00.
|Recommendation||Based on the charts and explanations above our opinion is buying oil from 72.20 To 74.60 and stop loss below 71.20, might be appropriate.|