Morning Report for Oil futures for August settlement

The four-hour closing below 97.50 pressured oil to decline reaching 95.70 as we expected yesterday, breaching 97.50 delayed the positive expectations for oil. Observing the 4-hour chart, we will see that oil rebounded to the upside from the main upside channel's support at 94.55; also the bullish 0-5 harmonic pattern didn't fail, where oil is still trading above D point. Therefore, there is a chance for an upside trend for today, our expectations remain strong as oil consolidates above the upside channel's support mentioned. A breach of 97.60 with four-hour closing above it could support a clear positive outlook.

The trading range for today is among the major support at 92.30 and the major resistance at 100.10.

The short-term trend is to the downside with steady daily closing below 105.00 targeting 87.00.

Previous Report

Weekly Report

Support95.4094.2593.5092.8092.30
Resistance96.5097.2097.7598.2099.40
RecommendationBased on the charts and explanations above our opinion is buying crude around 95.40 and take profit in three stages at 97.75, 98.50 and 100.50, and stop loss with four-hour closing below 93.65 might be appropriate.