CRUDE OIL: Momentum Turns Higher, Aims At 113.45

CRUDE OIL: Crude Oil has ended its corrective declines at 105.31 and climbed above its minor resistance at 110.08. While it continues to trade above that level, we look for it to strengthen further and recapture its 2011 high at 113.45. Further out, overhead resistance is seen at the 115.00 level and then the 117.90 level. Its daily RSI has turned higher supporting this view. Alternatively, support lies at the 110.08 level with a violation of that level turning downside risk to the 106.02 level and then the 105.31 level, its April 13'2011 low. We expect a halt in price as that level should hold and turn the commodity back. All in all, the commodity continues to retain its long term bullishness though looking to return above the 113.45 level. Mohammed Isah is a technical analyst and head of research at FXTechstrategy.com, a technical-research Web site. He has been trading and analyzing the foreign exchange market for the past seven years. He provides full coverage of the forex market with specific focus on G10 currencies as well as the commodities markets, with focus on five key commodities. He has written extensively on the forex market and technical analysis, and his articles have been featured in The Technical Analyst Magazine, The Forex Journal Magazine, Businessinsider, Thestreet.com, MoneyShow.com and FXstreet.com Contact: www.fxtechstrategy.com