Weekly chart
As we begin this first week of September, the markets are full of uncertainty and we can see in the weekly charts that crude oil is already showing some volatility. A possible air attack on Syria and the jobs report in August will contribute to this volatility after the holiday in the U.S. Crude oil is trading around 106.10 for today, below the line +1 / 8 (purple line) considered among one of the lines on which end overrun has oscillated oil prices during the previous weeks. So technically it is likely that from this point the prices could fall to the line 8/8 by way of respite for a bullish continuation to the possibility of a military attack against the Syrian government and concerns about oil supplies in the Middle East, where a third of the world's oil is pumped.
Daily chart
On 1-day chart we note that crude oil is now in 106.11, which is below the 6/8 (red line) having reached a minimum quote of 104.21. Which makes us think that the price tried to reach that level again, even to 103.13 where the line is located 5/8 (green line) the same line becomes the top of its trading range. But to reach such levels breaking of the bottom line of the trend channel should be observe, which could bring even the levels of 100.00 dollars per barrel.
4-hour chart
On 4-hour chart we note that crude oil has broken a trend line to reach its baseline trading range around 104.69, where the line 3/8 (line green) is located and then retracted to its center line located at range 4/8 (blue line). With such movement located under a downtrend that could well bring prices around 101.56 where we saw the line 1/8 for this time frame, along with a support line that is at 100.97.
Therefore, our suggestion for Monday is:
Sell below: 106:25
Stop Loss is at: 107.03
Take Profit is at: 104.30
For minimum risk of handling 2 to 1
If you have any questions or suggestions, please contact me right through:
Email:antonio.inga@analytics.instaforex.com
