Morning Report: Crude Oil Futures for March Settlement

The pair inclined yesterday benefiting from stability above 99.0-98.70, and today; it's trading above the main resistance for the descending channel, meanwhile, it continues to form the harmonic pattern we suggested previously, where the first potential reversal zone for this pattern resides at 100.60. Momentum indicators are slightly negative, and that may lead to some fluctuations. However, trading above 97.80 and preferably above 98.70; maintains the bullish expectations. Mentioning that; a breach above 100.60 shall push us to reconsider the harmonic pattern. ADX and the exponential moving average tend to be positive supporting the bullish scenario.

The trading range for today is expected among the support at 94.80 and the resistance at 102.20.

The short-term trend is to the downside with steady weekly closing below 105.00, targeting 65.00.

*New York Candlesticks*

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RecommendationBased on the charts and explanations above our opinion is buying crude around 99.00 and take profit at 100.60 and 101.10 stop loss with 4-hour closing below 97.70 might be appropriate.