Markets

Technical Oil (2012-03-02)

Morning Report Oil resumed the bullish action again, to rally sharply and prove that the recent breach of 107.60 to the downside was halted by the 20-EMA, thus, it goes back to settle above the 127.2% of CD leg for the harmonic pattern. By stabilizing above the aforementioned level we expect further incline and attempts to test the 161.8% around 116.45. Accordingly, we expect a bullish move however we may see sharp fluctuations as RSI is touching overbought areas. The trading range for the day is among the major support at 106.45 and the major resistance at 112.15. The short-term trend is to the upside with steady daily closing above 99.60, targeting 116.50. **New York Candlesticks** Previous Report Weekly Report

Support 108.00 107.60 107.10 106.45 106.00
Resistance 108.85 109.40 109.80 110.60 111.30
Recommendation Based on the charts and explanations above, we recommend buying crude above 108.00 targeting 110.60 and 112.15. Stop loss with four-hour closing below 107.10.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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