Crude oil's rising wedge...
Updated
As we can see crude oil is looking for support at trend-line and the 200MA plus 50% fib retracement level.
Saudi arabia's increased output by 10M barrels was the cause for this decrease in price.
Today United states Crude oil Invetories were down 237M barrels vs the forecast and that plus F.E.D decision gave some fuel to the price.
Technically we can see the channel that oil's price is moving,plus the Elliott wave formation until wave 4 and the rising wedge that is forming by the price movement.
I am long until 53-55$ area,a strong resistance exists that will form the wave 5 of Elliott's waves formation.
After this movement the rising wedge must 'break' and crude oil has to decide.
Usually rising wedges are breaking downwards and the news feed behind this movement of the price will propably be the failure of O.P.E.C agreement on crude oil's ouput once again as happened before a lot of times but we will see..
TARGETS
LONG AT 53-55 AREA
AFTER THAT 2 SCENARIOS
1)LONG UNTIL 57-60
AREA
2)PROPABLY SHORT AT 44$(SUPPORT AND 61.8 FIB LEVEL)AREA AND SECOND AREA 40$(STRONG SUPPORT AND 78.6 FIB LEVEL)
HAPPY TRADING GUYS!!
Saudi arabia's increased output by 10M barrels was the cause for this decrease in price.
Today United states Crude oil Invetories were down 237M barrels vs the forecast and that plus F.E.D decision gave some fuel to the price.
Technically we can see the channel that oil's price is moving,plus the Elliott wave formation until wave 4 and the rising wedge that is forming by the price movement.
I am long until 53-55$ area,a strong resistance exists that will form the wave 5 of Elliott's waves formation.
After this movement the rising wedge must 'break' and crude oil has to decide.
Usually rising wedges are breaking downwards and the news feed behind this movement of the price will propably be the failure of O.P.E.C agreement on crude oil's ouput once again as happened before a lot of times but we will see..
TARGETS
LONG AT 53-55 AREA
AFTER THAT 2 SCENARIOS
1)LONG UNTIL 57-60
AREA2)PROPABLY SHORT AT 44$(SUPPORT AND 61.8 FIB LEVEL)AREA AND SECOND AREA 40$(STRONG SUPPORT AND 78.6 FIB LEVEL)
HAPPY TRADING GUYS!!
Note
Strong resistance at this level by trend line and 50% Fib level.Good opportunity for entry long.Trade active
Note
Good resistance at 38,2% Fib level good to see a break above daily to reached 52$ level..Trade closed: target reached
First target reached as i correctly mentioned.It was a nice ride now we need to be careful.Trade closed: target reached
Note
53 first target reachedNote
Very accurate ideed as far as the scenario 2...
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