Oil traded near a one-week low, headed for a weekly drop, after falling because a pipeline that supplies U.S. Midwest refiners will start, easing the possibility the disruption would reduce crude stockpiles. Futures dropped 1.9 percent yesterday after Enbridge Energy Partners LP received government approval to resume flowing oil on their Line 6A. The system will begin operating today, the company said. Asian equity markets are higher today following earnings gains at tech companies. U.S. first-time jobless claims unexpectedly dropped to the lowest in two months.

Trading Tactics

A clear uptrend could be an opportunity to buy Crude Oil.

A buying point is at 76.21; previous resistance gives a take profit at 78.00; Fibonacci 61.8% level is the stop loss at 74.70

A selling point is at 74.40; previous support is the take profit at 73.50; Fibonacci 38.2% is the stop loss at 76.00

Technical: Crude oil breaks the previous resistance level and continues the Dow pattern. A move back higher could set up a test of 78.00

To strengthen our analysis; we use many other indicators, starting with MACD (Moving Averages convergence divergence); we notice MACD crosses the signal line downwards for a correction reason; RSI (Relative Strength Index) and Momentum are in a bullish direction; Stochastic crosses %D line upwards.

*Analysis is for information purposes only and does not constitute advice in any form. Trading in financial products carries a high degree of risk to your capital and it is possible to lose more than your initial investment.