Morning Report

Crude was able to satisfy yesterday's two scenarios, after touching pivotal resistance that descended towards 72.50, where it managed to achieve a breach through it of 69.50 attaining the awaited target around 67.85. The positive effect of momentum indicators are pushing crude to attempt a minor bullish correction that will retest 69.50 before resuming the bearish intraday direction, where targets once again are around 67.85 then 66.80. The four-hour candlestick closing below 69.50 will maintain chances of achieving the suggested scenario.

The trading range for today is among the key support at 66.80 and the key resistance at 70.75.

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

Previous Report Weekly ReportSupport68.7067.8567.6066.8066.00Resistance69.5070.2070.7571.4072.10RecommendationBased on the charts and explanations above our opinion is selling oil from 69.50 targeting 67.85 and stop loss above 70.75, might be appropriate.