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Daily Reports  Tuesday October 20 , 2009 06:01 GMT
Technical Oil
Oil Report


Morning Report

 

 

Crude continued its bullish move touching the psychological level at $80.00 per barrel, which had halted crude's ascend. Momentum indicators are still suffering from major overbought signs, which could pressure crude to attempt some bearish correction to get rid of these signs, while at the same time heading towards the support level for the ascending channel, seen in the image above. From here we can expect a minor bearish intraday direction for today touching 78.00 before resuming its journey towards the short term upside direction, where its current targets are around 82.50. 

  

The trading range for today is among the key support at 74.90 and the key resistance at 83.10.

 

The general trend is to the upside as far as 47.20 remains intact with targets at 85.00.

 



Support79.3078.0077.6076.7576.00

Resistance80.4081.6582.5083.9084.75

RecommendationBased on the charts and explanations above our opinion is selling oil with the breach of 79.30 and targeting 78.00 and stop loss above 80.40, might be appropriate.
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