Yesterday's bullish correctional trend was achieved, but as noted in our previous report we still expect an overall bearish trend due to the harmonic crab pattern. MACD is still showing some negativity and thus we expect that the right time for crude to respond to the harmonic bearish pattern is due to stable trading below 106.00 - 106.30. In return, the four hour candlestick closing is below 104.30 and will insure our expectations.
The trading range for today is among the key support around 101.05 and the key resistance around 106.55.
The short term trend is expected to be bullish with the stability of daily closing above 98.00 and targeting 113.35.
|Recommendation||Based on the charts and explanations above our opinion is selling crude around 104.80 targeting 101.05 and stop the four hour loss above 106.30, might be appropriate.|