Crude has pushed to the upside breaching pivotal horizontal resistance around 78.50 and expect at the retest level for the previously breached rising wedge that has currently turned into resistance at 79.60. Momentum indicators are showing negative signs that may push crude to descend to retest breached resistance at 78.50, but in overall we can expect more bullish intraday movement; starting targets at 80.10 then towards 81.85. Keep in mind that the expected bullish direction requires a base to be built above 77.40.
The trading range for today is among the key support around 77.40 and the key resistance around 81.85.
The short term trend is to the downside as far as 84.00 remains intact with targets around 61.60.
Weekly ReportSupport78.5077.9577.4077.0076.35Resistance79.6080.1080.9081.8582.50RecommendationBased on the charts and explanations above our opinion is buying crude around 78.50 targeting 80.10 and stop loss below 77.40, might be appropriate.