Technical Oil (2010-04-13)

Crude managed to achieve a breach of the neckline mentioned yesterday around 84.35; therefore activating the suggested bearish pattern that points to a bearish trend over an intraday basis; targeting support for the ascending channel that is currently rising towards 82.55. This scenario requires trading to remain below 85.10 to prevail.

The trading range for today is among the key support at 82.55 and the key resistance at 82.85.

The short term trend is expected to the upside as far as 65.60 remains intact with targets at 88.00.

Previous Report Weekly ReportSupport83.4582.5582.0081.5080.95Resistance84.3585.1085.8586.3587.05RecommendationBased on the charts and explanations above our opinion is selling oil from 84.35 targeting 82.55 and stop loss above 85.10, might be appropriate.