Yesterday'sbreakout above86.00 was achieved after stabilizing above the harmonic target around 84.30. -We recommend reviewing the weekly report for more details-, and breaching it will help us return to the classical technical analysis in order to witness a falling wedge pattern that could be achieved; hence, paving the way for more bullish correction. Meanwhile, if crude stabilizes above SMA 20 and 50 and 23.6% correction it could insure expectations. Note that stochastic is showing overbought signs that could pave for some fluctuation and bearish correction, but stabilize trading above 85.15 and 84.30 over an intraday in overall due to support from the previously mentioned bullish correction expectations.
The trading range for today is among the key support around 83.35 and the key resistance around 89.35.
The short term trend is expected towards the upside as long as the daily closing is above 84.00 with targets at 99.00.
|Recommendation||Based on the charts and explanations above our opinion is buying crude around 86.00 targeting 88.30 and stop loss below 87.30, might be appropriate.|