Crude

Crude seems to have broken above a formadable resistance. it can be seen from the chart above that crude has been able to break above the resistance which it failed to break above it atleast four time in last one and half years. So the break out appears to be genuine and appears that it would not end in a hurry. The correction during the last one week or so appears to be a normal one. Generally after break out the prices move up then stop then come to the support line( resistance earlier) and the second one would be the biggest one and move substantially. so it appears that crude might cool off to sub-100 levels probably towards 95 and then would start a big up move. whether this pattern would be followed its a billion doller question, but as a technitial it is the most probable picture which it appears. one thing is sure tll crude is above 86 bulls should not be worried.

M.Sri Mahidar
Trend is friend.