If you do not read part 1 yet, this is a link for the first part 
Also, if you have short position, you might wanna take partial or full profit. Check out this post also as I have shorted and already taken full profit yesterday. Here is the link
So this is a predicted correction and oil will go much higher from the support area around $38-$42/barrel to $60/barrel, even $80/barrel. I think point B, the last low at $26.03 is the medium term low because:
- Downward trend line was broken.
- Point C, the last high at $51.64 is higher then Point A at $50.60
Therefore, if this correction as predicted and oil will find support around this yellow area $38-$42 and bounce back to $50, it could signal a potential inverted head and shoulders pattern which will lead oil to $60 or even $80.
A buy is recommend at this level due to several reasons:
- Oil has reached our support area $38-$42
- 38.2% Fibo Retrace of the last impulse phase is around $41.85
- 50% Fibo Retrace is at $38.75
Target: $60 then $80
Stop loss: under $35 on monthly close.
Trade plan:
Bought 1 contract @$41.88
Will add another contract if oil reaches $39.
Stay Tuned.
Also, if you have short position, you might wanna take partial or full profit. Check out this post also as I have shorted and already taken full profit yesterday. Here is the link
So this is a predicted correction and oil will go much higher from the support area around $38-$42/barrel to $60/barrel, even $80/barrel. I think point B, the last low at $26.03 is the medium term low because:
- Downward trend line was broken.
- Point C, the last high at $51.64 is higher then Point A at $50.60
Therefore, if this correction as predicted and oil will find support around this yellow area $38-$42 and bounce back to $50, it could signal a potential inverted head and shoulders pattern which will lead oil to $60 or even $80.
A buy is recommend at this level due to several reasons:
- Oil has reached our support area $38-$42
- 38.2% Fibo Retrace of the last impulse phase is around $41.85
- 50% Fibo Retrace is at $38.75
Target: $60 then $80
Stop loss: under $35 on monthly close.
Trade plan:
Bought 1 contract @$41.88
Will add another contract if oil reaches $39.
Stay Tuned.
Note
Oil has reached as low as 39.2 before boucing up to 42.4 now. Let's see if this bounce continues and signals a short term bottom.Note
Oil has broken out to the upside. Keep your long position and make big profit.
Note
Oil is at 44.6 now. It is going to reach at least $46.Note
Oil is at $46/barrel. You can take partial profit here.Note
Oil is at $48.2 now. Keep holding till $50.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.