Members login
Technical Oil
Written by article default Wednesday, 17 August 2011 11:16
Midday Report for Crude Oil Futures for September Settlement
No big changes since morning as oil is still trading gradually to the upside and currently attempting to breach 87.50 resistance, a bearish technical pattern may be in progress over the hourly time frame and a breach below 86.70 may confirm a downside move toward 85.70 support. In general we will hold onto our bullish expectations awaiting a breach of 88.20 over four-hour basis to increase the odds of continuation toward 90.00 area.
Trading range for the day is among the major support at 83.00 and the major resistance at 91.00.
The short term trend is to the downside with steady daily closing below 100.00, targeting 65.00.
| Support | 86.90 | 86.30 | 85.90 | 85.50 | 84.60 |
|
|
|||||
| Resistance | 88.10 | 88.90 | 89.60 | 90.00 | 90.50 |
|
|
|||||
| Recommendation | Based on the charts and explanations above we recommend buying oil around 85.70 targeting 87.50 and 89.60. Stop loss with four hour closing below 84.80 OR buying oil with four-hour closing above 88.20 targeting 89.60 and 91.00 , stop loss four-hour closing below 87.50 may be appropriate. | ||||
|
||||||||||||
