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Day Trading Morning Prep Gold, Crude Oil, Dollar Index, Euro, E-mini Russell Futures
We have crude oil coming off the highs over a week ago, so here we are this morning on crude oil with OPEX ahead of us, sideways dollar, and plenty of things to be concerned with on this 89-range chart.- Short term bearish price channel in pink trend lines
- Short term wedge pattern in yellow trend lines
- Long term bullish price channels in green trend lines
- sideways trading range
- big round number of 100.00
we can see the 100.00 level staring at us this morning, which is something we need to be carefull about
first, we need to stay away from the 100.00 area, this is grand daddy of big round number.
second, we are in the sideways range, so sell the highs and buy the lows. avoid the middle of the sideways trading range.
third, we want to sell the highs and buy the lows of the bearish price channel in pink trend lines. Sell 100.87, and buy the 97.00
we cant forget about the massive price wedge in yellow trend lines. buy the lows of the wedge at 99.50, and take profit at levels of resistance overhead.
we can use the minor blue trend line to define the top of the wedge, so sell the highs of the wedge around 100, but beware trading around that big round number.
We find ourselves at the highs of the wedge, and the highs of the sideways range, and if it werent for the big round number of 100 this would be an easy shoert position.
- Wedge pattern in yellow and green trend lines
- Price channel in Green trend lines
- Major support around 1400.0
Lets zoom in closer to a faster timeframe for the best look at this chart today. use the same levels from the 89range, but now we see MORE of this price action:
we can see a few important things:
- Price Wedge, we are at the highs
- Bearish Price chanel in green trend lines
- PHOD and PLOD
Sell the highs of the price wedge, selling 1429.0, 14530, 1433.5
Buy the lows of the wedge, buying 1409.5, 1406.5, 1400.0
We want to sell the highs of the price channel in green trend lines around 1429.2, 1433.5
we also need to watch the previous HOD and previous LOD, which will act like a price margnet. Sell the PHOD at 1433.5, and buy the PLOD at 1418..2
we then take one more look at this 34range chart and see short term bullish price channel in ORANGE trend lines, and this now becomes our most recent pattern, so we need to look at first.
buy the lows of 1422.7, sell the highs of 1441.7, and look to avoid the middle.
with a bullish price channel, we can now assume the higher percetnage trades will be LONG side.
wait for price to break new highs and buy a pullback, or wait for price to fall and buy with a price reversal pattern at support.
