May 12, 2013
- in Uncategorized by schooloftrade
Crude Oil finds ‘Balance’ at Big Round Number; Will Monday’s News get us trending again?
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| Crude Oil Daily Chart |
Crude Oil Daily & 4-Hour:
The 240-Minute chart, using the daily chart as our first
clue, shows us the most important information this evening as we head back into
Monday’s trading session for Crude Oil Futures.
First we can see that monster collapse from last Friday,
which made most of us a lot of profit on the way down, and now we can see the price-action
made it ALL THE WAY back up into the same price-wedge.
clue, shows us the most important information this evening as we head back into
Monday’s trading session for Crude Oil Futures.
First we can see that monster collapse from last Friday,
which made most of us a lot of profit on the way down, and now we can see the price-action
made it ALL THE WAY back up into the same price-wedge.
 |
| Crude Oil 4-Hour Chart |
If you recall from Friday we called a short trade in our
morning broadcast down to exactly the same level we tested at the bottom of the
‘plunge’ on Friday. We tested the Fibonacci-based
trigger-zone below at 93.50 which was exactly what we expected.
morning broadcast down to exactly the same level we tested at the bottom of the
‘plunge’ on Friday. We tested the Fibonacci-based
trigger-zone below at 93.50 which was exactly what we expected.
What we did NOT see coming was the immediate price-reversal
that occurred and now we go into Monday as-if nothing happened on Friday.
This price-action we see on the 4-hour anchor chart tells us
one thing; the market is clearly in
balance at this time, meaning both the buyers and sellers currently agree that
96.00 is the price with the most ‘value’.
one thing; the market is clearly in
balance at this time, meaning both the buyers and sellers currently agree that
96.00 is the price with the most ‘value’.
Going forward this week we have a LOT more news on the
schedule starting with Retail Sales at 8:30am EST on Monday. If you recall, last week there was NO major economic
news, which lends to the idea that Crude Oil Futures are in balance only because
traders didn’t have anything to work with last week to cause them to change
their opinion of ‘value’ in the price.
schedule starting with Retail Sales at 8:30am EST on Monday. If you recall, last week there was NO major economic
news, which lends to the idea that Crude Oil Futures are in balance only because
traders didn’t have anything to work with last week to cause them to change
their opinion of ‘value’ in the price.
This week we will expect to see a lot more volatility in the
price-action with lots of major news on the schedule. We will be looking for a breakout that
actually keeps going and we should see a new trend develop sometime early in
the coming week. As for now, we’re
trading in a sideways-trading-range and we will be buying the lows and selling
the highs!
price-action with lots of major news on the schedule. We will be looking for a breakout that
actually keeps going and we should see a new trend develop sometime early in
the coming week. As for now, we’re
trading in a sideways-trading-range and we will be buying the lows and selling
the highs!
