November 19, 2012
- in Uncategorized by schooloftrade
Crude Oil Anchor Chart Prep:
We can see
the bearish price-channel along with the price-wedge drawn using yellow trend
lines.
We can seethe price-action has made new higher-highs, above the PHOD, which makes this a
breakout market personality and outside-day.
Crude Oil has a distinct market personality which tells us to look for
the fake-out-breakout rather than buying pullbacks with these new higher-highs.
We can see
the sideways-trading-range drawn in the white rectangle, which tells us that we
are trading at the highs of that range. We
want to sell-the-high at resistance of 89.21 and 89.63.
the sideways-trading-range drawn in the white rectangle, which tells us that we
are trading at the highs of that range. We
want to sell-the-high at resistance of 89.21 and 89.63.
Our daytrading strategy for Crude Oil futures is to fade-the-breakouts as price rises
to this overhead resistance we will wait patiently for the buyers to fail, and
when they do, sell short at the highs.
We are approaching the trigger-zone resistance at 89.60, the swing-high resistance
at 89.21 and 89.63, highs of the sideways-trading-range resistance at
89.63. All three of these different resistance
types mean trying to buy into these areas is higher risk.
Our profit-target
for the short trades will be back at the PHOD 87.39 with some minor bumps as we
drop. Use your trigger-lines and trigger-zone tool to find the targets on the
way down.
for the short trades will be back at the PHOD 87.39 with some minor bumps as we
drop. Use your trigger-lines and trigger-zone tool to find the targets on the
way down.
