September 25, 2013
- in Uncategorized by schooloftrade
Crude Oil Day trading strategy; Morning Prep Screen to Floor 09/25/13
7:30am EST
Focus-Points this morning:
· Trading remains cautious this morning,
markets still looking for clues from the Fed
markets still looking for clues from the Fed
· Gold rises overnight
· Emerging market equities continue to
struggle
struggle
· German Consumer Confidence comes in
at 6-year highs
at 6-year highs
· Traders focus on Red-Star news this morning from
Durable Goods Orders, New Home Sales, and Crude Oil Inventories
Durable Goods Orders, New Home Sales, and Crude Oil Inventories
· Last night (Tuesday @ 430pm EST) API
Inventories for Crude Oil came in at a draw of -50k.
Inventories for Crude Oil came in at a draw of -50k.
· Traders continue to look for signs
the Fed will begin its ‘QE Tapering’
the Fed will begin its ‘QE Tapering’
Economic News on the schedule today:
8:30am EST: Durable
Goods Orders
Goods Orders
10:00am EST: New
Home Sales
Home Sales
10:30am EST: Crude
Oil Inventories
Oil Inventories
Crude Oil Analysis:
 |
| Crude Oil 5400-tick |
We begin this morning with our anchor chart analysis of Crude
Oil Futures and we can see from the 5400tick chart that we have a long-term
trend that is bearish, with a bear price-channel and a red ‘cloud’. Furthermore, we can see that the lows of this
price-channel have held as support and price-action has managed to break above
the ‘cloud’ resistance and now appears to be ready to make a price-reversal to
move back higher. This is a very big
clue this morning because when the anchor chart changes its trend direction we
have a new trading opportunity in front of us this morning.
Oil Futures and we can see from the 5400tick chart that we have a long-term
trend that is bearish, with a bear price-channel and a red ‘cloud’. Furthermore, we can see that the lows of this
price-channel have held as support and price-action has managed to break above
the ‘cloud’ resistance and now appears to be ready to make a price-reversal to
move back higher. This is a very big
clue this morning because when the anchor chart changes its trend direction we
have a new trading opportunity in front of us this morning.
 |
| Crude Oil 1800-tick |
We move to a faster anchor-chart timeframe and the 1800tick
chart shows us a recent change in the trend from bearish to bullish. This is a very important clue for us because when
the long-term trend changes we need to be ready for a buying opportunity this
morning. We are above the cloud on the
5400tick chart, and with the 1800tick chart turned GREEN we are going to be
looking for buying opportunities this morning.
chart shows us a recent change in the trend from bearish to bullish. This is a very important clue for us because when
the long-term trend changes we need to be ready for a buying opportunity this
morning. We are above the cloud on the
5400tick chart, and with the 1800tick chart turned GREEN we are going to be
looking for buying opportunities this morning.
IMPORTANT: If we are going to buy this
morning, we will use the resistance levels from the 1800-tick chart as our
guide. We will take profit-targets at
104.53, 105.23, 105.92 and 106.90 as we enter into long positions this morning
with the new long-term trend.
morning, we will use the resistance levels from the 1800-tick chart as our
guide. We will take profit-targets at
104.53, 105.23, 105.92 and 106.90 as we enter into long positions this morning
with the new long-term trend.
 |
| Crude Oil 600-tick |
Our 600-tick entry/anchor chart shows us more important
confirmation of a bullish trend this morning, so we are now going to be looking
to buy the pullbacks on the way higher this morning. All we have to do is look for the proper
entry pattern to get long, which is currently at the 103.49 area at the lows of
the bull price-channel.
confirmation of a bullish trend this morning, so we are now going to be looking
to buy the pullbacks on the way higher this morning. All we have to do is look for the proper
entry pattern to get long, which is currently at the 103.49 area at the lows of
the bull price-channel.
 |
| Crude Oil 30-Minute |
The 30-minute VIP Chart is very important confirmation of
this bullish market personality this morning.
First we can see the last 3 sessions have been lower (colored red) and
this morning we can see the break back above the PHOD, which suggests to us
that something has fundamentally changed with the value of Crude Oil Futures. We close on Tuesday up near the HOD which
tells us the strength to move higher is already there. All we need now is to see the opening-bell at
9:00am EST with a print above the 103.64 and we are off to the races buying as
we move higher. 
this bullish market personality this morning.
First we can see the last 3 sessions have been lower (colored red) and
this morning we can see the break back above the PHOD, which suggests to us
that something has fundamentally changed with the value of Crude Oil Futures. We close on Tuesday up near the HOD which
tells us the strength to move higher is already there. All we need now is to see the opening-bell at
9:00am EST with a print above the 103.64 and we are off to the races buying as
we move higher.
CRUDE OIL INVENTORIES NEWS:
Small draw overnight…which is a bullish clue.
