Midday Report

Crude continues to trade between both ends of the pattern shown yesterday, shown in the image above, in addition to being wedged within a sideway range between support 69.50 and resistance 71.40. These factors point to a possible speed in movement if one of the mentioned levels is breached. Therefore, we must carefully observe crude when it reaches the point. Keep in mind a bearish direction is expected for today; targeting 67.60 mainly.

The trading range for today is among the key support at 67.85 and the key resistance at 72.90.

The short term trend is expected to the downside as far as 79.20 remains intact with targets at 61.60.

Previous Report Weekly ReportSupport70.5570.0069.5068.7067.85Resistance71.4072.1072.9073.2573.75RecommendationBased on the charts and explanations above our opinion is buying oil with the breach of 71.40 targeting 72.90 and stop loss below 70.60, might be appropriate.