October 3, 2012
- in Uncategorized by schooloftrade
Morning Crude Oil Checklist:
Heat Map
Review:
Heat map
says we have Crude Oil market personality is moving, and moving lower. Remember, the RED color doesn’t matter a lot
to me, we can easily see these new lower-lows fail and we get a price-reversal trade
buying.
says we have Crude Oil market personality is moving, and moving lower. Remember, the RED color doesn’t matter a lot
to me, we can easily see these new lower-lows fail and we get a price-reversal trade
buying.
Overnight
Highs & Lows:
Highs & Lows:
The
overnight highs were created, and never tested.
overnight highs were created, and never tested.
The
overnight lows were tested and failed.
overnight lows were tested and failed.
The PLOD was
tested and price dropped below.
tested and price dropped below.
All signs
point to sellers in control, which is bearish.
point to sellers in control, which is bearish.
Wait! We have a BIG WICK on this final green
candle,
candle,
which is a
sign of a possible price reversal.
sign of a possible price reversal.
Inside or
Outside Day?
Outside Day?
Outside day
below the PLOD this is considered bearish until we get back up above the PLOD again
later today.
below the PLOD this is considered bearish until we get back up above the PLOD again
later today.
Find the price-structures: · Trigger-zone is resistance above at
94.90 and support below at 89.50.
94.90 and support below at 89.50.
· AB=CD Pattern is both bullish (major)
and bearish (medium) and we do not have any short term AB=CD Pattern.
and bearish (medium) and we do not have any short term AB=CD Pattern.
· Price-wedge is there we are in the
middle.
middle.
· Price-channel is bullish and we are
trading just below the lows, appears to have the buyers holding on by a thread.
trading just below the lows, appears to have the buyers holding on by a thread.
· Zigzag is not on this chart
· Trading Range 93.84 down to 88.95
· Double-top overhead provides us with
3 levels of support below, and we will use these levels as profit-target and
entry locations if they fail as support.
3 levels of support below, and we will use these levels as profit-target and
entry locations if they fail as support.
Where
will a reversal be likely today?
will a reversal be likely today?
We are
trading inside a range, we call this range a price-wedge. As price falls to the lows we will see a price-reversal
at the lows. As price moves to the highs
we look for the price-reversal at the highs. Buy-the-lows at support and sell-the-high
at resistance is our day trading strategy for this range-bound market.
trading inside a range, we call this range a price-wedge. As price falls to the lows we will see a price-reversal
at the lows. As price moves to the highs
we look for the price-reversal at the highs. Buy-the-lows at support and sell-the-high
at resistance is our day trading strategy for this range-bound market.
