Crude Oil approaches the resistance – Analysis - 22/12/2014

Crude oil price continued to rise as expected in our last reports, to approach from the sideways range resistance that appears on the chart at 59.18, accompanied by stochastic reaching the overbought areas, which supports the chances of bouncing bearishly from the mentioned resistance to keep the trading inside the sideways range, which its support line located at 54.10.

Therefore, we suggest the domination of the sideways trading until the price manages to breach one of the above mentioned levels, reminding you that breaching the resistance will push the price to achieve gains that its initial targets reach to 64.30, while breaking the support represents the key to resume the main bearish trend, which its next targets located at the psychological barrier at 50.00$ per barrel.

Expected trading range for today is between 54.10 support and 61.85 resistance.

Expected trend for today: Sideways