Crude Oil tests the critical support – Analysis - 01-06-2016

Crude oil price ended yesterday’s trading with clear negativity to approach from the key support 48.40 now, and as we mentioned in our previous reports, holding above this level represents key condition to continue the bullish trend on the short term basis, as breaking it will push the price to visit the main bullish channel’s support areas around 45.75 before any new attempt to rise.

The EMA50 attempts to protect the price from achieve more decline, while stochastic shows clear oversold signals now, therefore, these factors encourage us to continue suggesting the bullish trend in the upcoming sessions, which its targets begin at 51.10 and extend to 53.30.

Expected trading range for today is between 47.00 support and 51.10 resistance.

Expected trend for today: Bullish