Morning Report for Crude Oil Futures for August Settlement
Oil is attempting on 97.20 level again which is the 61.8% Fibonacci retracement of the latest down wave. The level was breached yesterday to record the highest near 97.80 however it failed to stabilize above the level and fell quickly below 97.00. The commodity is pushing to the upside for a possible retest of 97.80 areas again, breaching that level may extend the upside move toward 99.25 the 78.6% retracement and 100.00 area. We hold onto our bullish expectations for oil so long as trading is above 95.70.
Trading range for the day is among the major support at 93.00 and the major resistance at 101.20
The short term trend is to the downside with steady daily closing below 105.00, targeting 87.00.
|Recommendation||Based on the charts and explanation above we recommend buying oil with four-hour closing above 97.70 targeting 99.60 and 101.20. Stop loss with four-hour closing below 97.20 OR buying oil around 96.40 targeting 97.70 and 99.60 with stop loss with four-hour closing below 95.70 may be appropriate.|