USOIL - 1W - OIL Sellers about to get angry?If you like this idea leave a like and follow me to get all of my updates :) I would love to talk to you so send me a message or comment!
Underlying: USOIL
Time frame: 1W (buy now)
I have been watching oil very closely over the last 6 months and have spotted something very interesting on the weekly chart that needs to be talked about. So, one of my main indications of whether a move is about to become a "bigger" move is by looking at the MACD.
Currently the MACD is in an up-trending state and it has now started to cross the "centre line" (0). It is still not all the way through it and I think you will see over the next 2-3 weeks a grind higher. I have drawn an orange arrow on the MACD to show this.
The first target is right into previous resistance at the 54.30 area. This will be a good place to take profits. The second target will be much harder to reach but will be at the 200MA line on the weekly chart.
As oil can be quite volatile I would suggest only using small positions and low leverage where you can!
