Brent Oil has dropped under some key support levels and confirmed the Wedge. At this point the price seems to be consolidating between 64 and 66 dollars per barrel. I believe that a break below 64 will trigger a drop towards 62 or even 61, while a break above the local resistance from 66 would trigger a rally back to 67 $/barrel.
Trendline resistance, horizontal resistance and 38.2% fib resistance are all been tested around 53.00, it is quite hard for brent oil price to break out directly. It may have to test support before going up.
And the long side is the winner. Crude triggered a few minutes after the RTH open this morning. If you missed this opportunity you were sleeping. There was 25 days of prep time. She moved far enough to give us our first target. Stops are now at entry at $46.71. Tomorrow we have the Petroleum report so we don't want to puke out a good trade. We are hoping...
Two inside days means we are about ready to rock with Crude. This is a clean flag and we still like the upside but BE MINDFUL THAT CRUDE can go either way. There are a lot of factors at work with oil. Don't be a hero and guess. Wait for the market to tip it's hat and look for a trigger.
Crude is getting closer. We are still monitoring around the clock and will drop down to a lower time frame and look for triggers. We still like the upside but with crude you never know. When she breaks she will most likely move quickly and far. Keep on your watch list.
The dynamics of crude are changing. Crude is getting close to popping and now that this flag has formed we are liking the upside more and more. We are monitoring this around the clock and will drop down to a lower time frame and look for triggers. Watch fake breaks to either side. Also, a hard break to the upside it could spell trouble for the equities.
After a rocket off the bottom and a nice trade, Crude needs a rest. Is the bottom in? We don't so...soon though. We feel crude could make another attempt at a bottom to shake out the weak longs. However, if crude wants more upside from here we will need to see some consolidation. Above the $47 and we could see an accelerated squeeze. Crude is on our daily...
Here is what may happen if the market breaks the key support level that I showed on the chart below.
Well if one of those will occur (especially Cypher Pattern) then we may see a beginning of an uptrend.
The market seems to be a little bit confused, probably because of OPEC meeting and reaching a key support level. Here is some analysis of what may happen if the support would be violated or not.
The nearest strong resistance for TP on long position is somewhere between 63,5 - 64
If the prices will break the key support level, then the next strong support is 59-60
