Morning Report

Crude's trading stabilized above the breached neckline yesterday at 78.00, where it is presently attempting to gain bullish momentum to support achieving more upside movement for today. The complete targets for the bullish pattern are around $83.00 per barrel, but it requires the breach of the key strong resistance at 79.60. From here we expect a bullish direction for today to prevail if crude doesn't close the four hours below 78.00.

The trading range for today is among the key support at 76.40 and the key resistance at 81.60.

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 from 78.00 targeting 79.60 and stop loss below 76.90, might be appropriate.