March 9, 2012

Crude Oil bear price channel inside day

Crude Oil day trading strategy uses the 89 range chart
first, and we see the bear price channel, the inside day, and the price wedge just
below 107.00.  the goal this morning will
be to sell as price rises above 107.45 and then I will look fake-out breakout first
and then with strong buyers I will buy a pullback.  If price falls off these highs I want to be
quick to sell retracements off these highs before I lose the power sellers off
the highs and start trading in the middle. 
I want to avoid the middle of this price wedge.  If price keeps falling I will buy the lows of
the price wedge and try to bring it back up.

The 34 range chart on Crude Oil shows me the same price
wedge structure, but a lot more details that we will use for our day trading
strategy this morning.  We can see the
bull price channel, the trigger-zone support below us, and the current trading
range using the price wedge.  If price
rises I cant start buying until above 107.45 then I can buy pullbacks.  I can start selling until I get below the
106.40 trigger-zone support.  So we need
to break out of the price wedge to the upside and buy pullbacks or break below
the lows of the price channel and sell retracements.

    schooloftrade

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