FX.co ★ Crude oil - Mathematical analysis with Murray Lines for September 25, 2013

Daily chart

After having withdrawn from the area of 102.34 during the yesterday’s session and after having made the candlestick pattern known as Hammer, we can see that for today Crude Oil has broadened its trend channel and has apparently found important support zone at 103.13, where the line eighth (yellow line) that although is considered in this case as a weak support. However, keep in mind that if the price stops near them, it is possible that Crude Oil changes direction.

The fact that the hammer candlestick extends to the level of 102 or very close shows that the region between 102 and 103 will be an important support zone, which should be considered.

4-hour chart

Elsewhere on the 4-hour chart we have a perfect figure known as head and shoulder, formed between the purple line of -1/8 and the yellow line of 1/8 which gives us a high probability of the rebound of Crude Oil. But taking into account the centerline of its band of gravitation we can expect the next candle closing time, exceeding the last peak with this candle in training, which currently stands at 103.95. So an entry in we can have more interesting purchase above 104.00 with a potential displacement of about 300 pips to 107 and a stop loss at 103.00 pretty tight.

1-hour chart

Finally, on the 1-hour chart note that Crude Oil after the Monday income below 103 since been moving within its trading range between 5/8 and 3/8 line math Murrey, for the same that at time to overcome the top line of said range, i.e. the green line of 5/8 would entering again to an uptrend or rebound that could eventually bring it up the area where are located the end lines overrun as are +1/8 and +2/8
Our recommendation: Based on the analysis of 3 charts, our suggestion for today is:

Buy up to: 103.91

Stop loss in: 102.20

Take profit in: 106.00

For risk management least 2 to 1

If you have any questions or suggestions, please contact me right through: Email:antonio.inga@analytics.instaforex.com

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