Weekly Report(31 Oct-04 Nov):Crude oil futures for December settlement
The commodity started the week lower, where trading remains within the short term ascending channel, but below the main descending resistance shown on image. The 200 days SMA is also protecting the price from above, stochastic is clearly overbought as well, therefore for this morning we anticipate a downside pullback but for the week we need more confirmations for the next potential move, either a breach above 95.00 will signal continuation of the bullish wave or stability below 89.60 may lead to further decline toward 85.00 area.
The trading range for the week is among the major support at 89.60 and the major resistance at 96.00.
The short-term trend is to the downside with steady daily closing below 100.00 targeting 65.00.
*The provided chart based on GMT+3
|Recommendation||Based on the charts and explanations above we recommend selling oil around 93.10 targeting 92.00 and 90.60 . Stop loss with hourly closing above 93.75|