Crude strongly pushed to the upside yesterday to retest the previously breached neckline for the bearish technical pattern at 75.15, effected by the positivity appearing on momentum indicators yesterday, in addition to breaching the bullish technical pattern's minor neckline around 73.50. These signs, alongside stability above the MA 50 point to positive pressure that may push for more bullish movement, however, the retest level is accompanied by momentum indicators entering overbought areas and thereby maintaining an upper hand in returning to continue in the bearish trend that was started after breaching support for the bullish short term channel for the first day of the current month. We recommend observing trading today, especially resistance levels between 75.15 - 75.80 and support 74.00, since these levels holds the keys in insuring the upcoming short term intraday direction.
The trading range for today is among the key support around 72.90 and the key resistance around 76.95.
The short term trend is to the downside as far as 84.00 remains intact with targets around 61.60.
Morning Report Weekly ReportSupport74.0573.5072.9072.0571.45Resistance75.1575.8076.2576.9077.20RecommendationBased on the charts and explanation above our opinion is observing the pair’s movement to insure its upcoming direction.