Crude moved higher towards the areas expected in our weekly report around 102.75 and reached the resistance around 103.20 and declined from there. Crude is now trading with volatility with downside basis due to momentum indicators pressure over four-hour basis. The suggested count and stability below the resistance for the ascending channel support the likelihood for returning to the downside today.
The trading range for today is among the major support at 96.60 and the major resistance at 105.25.
The short term trend is to the downside with steady daily closing below 109.75 targeting 85.40.
|Recommendation||Based on the charts and explanations above our opinion is selling crude around 101.05 and take profit in stages at 100.45, 98.60 and 96.60 and stop loss with daily closing above 104.80 might be appropriate today|