Weekly Report (April 25-29)
Over four-hour basis, crude is still trading to the upside within the ascending channel that organized trading since January 2011, while the SMA 50 still offers the needed support for the upside wave. On the other hand, crude faces critical resistance at 113.85 supported by the negative momentum on indicators. The negativity makes us expect some downside fluctuations to gather the needed momentum to resume the upside move this week targeting 115.55 and might extend towards 118.45. The previous report provides a clear harmonic overview that also supports the expected bullishness towards the targets.
The trading range for today is among the major support at 107.65 and the major resistance at 118.45.
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 around 111.40 and take profit in stages at 113.05, and 115.30 and stop loss with four-hour closing above 109.75 might be appropriate|