Morning Report

Crude continued its trading within the bearish channel that organized its movement since the middle of last month; closely near to touching its support, appearing through the image above. The ongoing normal trading within the channel makes us expect a bullish intraday direction for today that targets 80.75 initially and requires the breach of the minor resistance at 78.85, which makes crude's mission to ascend easier. Momentum indicators support the expect bullish trend.

The trading range for today is among the key support at 75.60 and the key resistance at 84.05.

The general trend is to the upside as far as 47.20 remains intact with targets at 85.00.

RecommendationBased on the charts and explanations above our opinion is buying oil with the breach of 78.85 and targeting 80.75 and stop loss below 78.00, might be appropriate.