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Technical oil
Written by article default Tuesday, 08 November 2011 07:45
Oil Report
Morning Report: Crude oil futures for December Settlement
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Oil extended the upside move to reach above 96.00, to end the yesterday’s session above the descending resistance -shown on image- in addition to the 200 days SMA , while stochastic is extensively overbought. Thus, we might see a downside correction this morning testing 94.50 areas before resuming the possible bullish move for today targeting the high at 95.15 again.
The trading range for the day is among the major support at 94.50 and the major resistance at 98.00.
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*
| Support | 95.00 | 94.50 | 93.75 | 93.25 | 92.75 |
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| Resistance | 96.00 | 96.50 | 97.00 | 97.80 | 98.60 |
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| Recommendation | Based on the charts and explanations above we recommend buying oil around 94.50 targeting 96.10 and 97.00. Stop loss with four-hour closing below 93.70 | ||||
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