$94.90 Proves to be a hurdle for WTI

Crude Oil was able to extend gains yesterday to test $95 but unable to press above in order to cause the short covering. The move to our next target yesterday was impressive in the face of encouraging import data out of China and geopolitical tension. A lot of the rally yesterday did come prior to the dollar seeing the bulk of its sell off which did surprise us. This being so, the market was unable to get a bid off of $94.00 mid-day and closed back to 93.80 support level. To maintain immediate bullish momentum, Crude must close back above here. The current market has fallen back to test $93 and must find support against 92.75, still only a close below 91.50 will signal a reversal. Resistance – 93.80*, 94.42, 94.87-95*** Support –92.75*, 91.50***, 90.75*, 89.81***