Crude pushed strongly to the upside revisiting resistance for the short term trend at 75.75, carried by the minor ascending channel appearing through the image below.
Momentum indicators are moving near overbought areas; thus forcing crude to attempt a slight bearish correction before resuming the bullish intraday trend that requires a clear breach of the mentioned resistance level and then activate the suggested scenario this morning. Keep in mind that the breach of 75.00 and building a base below it will postpone expectations of a bullish direction today.
The trading range for today is among the key support around 73.90 and the key resistance around 77.00.The short term trend is to the downside as far as 79.20 remains intact with targets around 61.60.
By: Yasir Mubarak
Main Technical Analyst