After going as low as mid 40s crude seems to be recovering. A possible IH&S is seems to be developing. Price has hit resistance as you can see, hitting the 50SMA and overbought RSI across multiple time frames.im looking at this possible scenario longer term.
Trade closed: target reached:
Based on the chart development, usoil didn’t have the breakout I was looking for, for a target in the 60 area. Price came back to the neckline which is not a good sigh and ATR is been sitting at it’s lows now starting to climb. So based on this assessment profit was taken at 55. Oil could still go higher but at this point it could also revisit its December lows.