Technical Oil (2011-04-11)

By @ibtimes on

Weekly Report (April 11 - 15)

Crude is currently hovering around 112.90-113.00 the main resistance for the ascending channel shown above, and also represents areas of previous wave's correctional levels. RSI is heavily overbought and that might trigger a downside correction before the resumption of the upside wave. The breach and stability above 113.00 might extend the upside wave negating the need for the downside correction.

The trading range for this week is among the major support at 108.00 and the major resistance at 116.75.

The short term trend is to the upside with steady daily closing above 104.00 targeting 116.75.Support112.50111.40110.20109.65109.00Resistance113.00114.10115.80116.00116.75RecommendationBased on the charts and explanations above our opinion is buying crude around 111.40 targeting 116.00 and stop loss with daily closing below 108.70 might be appropriate this week

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