Morning Report

According to the chart above, volatile trading is witnessed between the top level X point for the harmonic pattern and 127% for the XA leg pattern. This sideways trading is above the classical support level that has been derived from the CD leg pattern, although the price gap that has started with this week's trading has not been covered yet; requiring reaching 102.05 to cover the gap and thus lead trading below the top level X point, alongside breaching the previous classical support. Meanwhile, stability above the top level X point around support 102.75 could lead to ongoing attempts of a bullish trend to cause the flawless crab pattern to stabilize by touching 105.25 and perhaps 106.30, instead of relying on the butterfly pattern. Note that we must follow up on crude's neutral movement today until we insure the upcoming direction better.

The trading range for today is among the key support around 99.40 and the key resistance around 106.85.

The short term trend is expected towards the upside as long as the daily closing is above 98.00 with targets at 113.35.

Previous Report

Weekly Report

RecommendationBased on the charts and explanations above our opinion is remaining neutral until signs that insure the upcoming direction appear, might be appropriate.