As we mentioned yesterday, stability below 109.75 is very important to keep our expectations valid, but we see how the price achieved a four hour closing above this level. Thus, we reconsider our harmonic overview to suggest a bearish harmonic one which is still uncompleted. This structure is presently forming its last leg and will bring bullish wavebut not before achieving stability above 109.75. Momentum indicators reflect overbought case and that is why we believe that there will be some kind of fluctuations. Note that stability above X point will damage any chances for achieving correctional actions.
The trading range for today is among the major support at107.65 and the major resistance at 115.70.
The short term trend is to the upside with steady daily closing above 98.00 targeting 113.35.
|Recommendation||Based on the charts and explanations above our opinion is buying crude around111.40 and take profit in stages at 113.05, and 115.30 and stop loss with four-hour closing below 109.75 might be appropriate|