CRUDE OIL: With Crude Oil taking out its minor resistance at 105.50 level on recovery, the risk is for further upside to build up. However, we will have to see a return above the 108.75 level to prevent the commodity from returning to the 100.00/48 levels. In such a case, the support standing at the 98.71 level will be targeted followed by the 98.00 level. On the upside, in order for Crude Oil to resume its broader uptrend, it will have to return above the 108.65 level and break above the 110.55 level, its Mar 02’2012 high to trigger that uptrend. This if seen will set the stage for further upside strength towards the 115.00 level and then the 120.00 level. All in all, Crude Oil continues to be biased to the downside despite its present recovery attempt.
