Crude Oil Morning Report 30/ June /2010

Crude respected yesterday’s scenario, stabilizing around the pivotal level at 75.75. Crude’s stability below this level signals the likelihood for further bearish movement, with a bearish pattern seen with the neckline at yesterday’s recorded bottom of 75.20. Oil
Therefore, we expect an overall bearish intraday trend that requires first a base to be built on 75.75; second, the breach of 75.20, and third, stability below 77.20.

The trading range for today is among the key support around 73.10 and the key resistance around 77.20.
The short term trend is to the downside as far as 84.00 remains intact with targets around 61.60.

By: Yasir Mubarak
Senior Technical Analyst