Morning Report: Crude Oil Futures for March Settlement

A four hour closing above 100.60 invalidated our weekly negative expectations yesterday, however the bearish BAT harmonic pattern remains possible, price has breached the descending resistance of the bearish trend, and trading settled above the 20 and 50 Exponential moving averages, and the averages are trading positively as well. Contradictions between the harmonic pattern and the latest breach of the descending trend-line push us to be neutral now, as stochastic is within overbought areas, while ADX is showing weakness in the bullish move and RSI near overbought region.

The trading range for today is expected among the support at 97.60 and the resistance at 103.00.

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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Weekly Report

RecommendationBased on the charts and explanations above we recommend staying aside awaiting more confirmation.