Crude (16.9.2014) continue trading in tight range after finding a support just under $90 mark as mention in our last article. Last few days trading showing a slow down in downside movement while the construction of positive candlestick pattern with continue positive divergence suggesting a bounce ahead. A lower trend line support of minor descending channel still favor shot covering.
On fundamental side, last 4 constitutive inventory withdrawal in crude & upcoming maintenance shut down might starting support at this area.
Based on above studies, it is possible for crude to move for some upside targets around $94.90 & then $96.50 in coming trading session while a close below $89.50 will delay the forecast.
Note – Above technical analysis is our observation not to consider as a buy/sell recommendation just for informational purpose only.
