WTI swing looking for long continuation, day trade sit on fence
Analysis for swing traders: WTI is now sitting on shadow based on two lines 66.22 and 65.72. This shadow form basis for potential turning point. Since trend is down-up-down expect next move up. This week's high is 66.26 so take that as verification that top of shadow 66.22 is valid. Lower line 65.72 is drawn from March 19 high but this level was last week's close so take that also as evidence that market complies to this level. With long doji tail below, watch closely for long signal.
Analysis for day traders: Favour short as a continuation of last week momentum. Although swing traders expect long signal, WTI is still resisted. In view of this week's doji with long tail below, wouldn't hurt to take a break and sit on fence. TGIF.
Notes: Technical Analysis states that previous turning points offer future potential support resistance zones.
1. Attach a horizontal line at each turning point in the past 12 months on weekly chart.
2. These lines leave a shadow.
3. Shadows are not evenly dispersed but tend to be clustered.
4. When multiple shadows confluence in a tight range, there is a dark shadow which will provide strong support resistance.
5. Look for dark shadow to offer next turning point.
6. Price will move quickly through empty spaces or bright areas.
Analysis for day traders: Favour short as a continuation of last week momentum. Although swing traders expect long signal, WTI is still resisted. In view of this week's doji with long tail below, wouldn't hurt to take a break and sit on fence. TGIF.
Notes: Technical Analysis states that previous turning points offer future potential support resistance zones.
1. Attach a horizontal line at each turning point in the past 12 months on weekly chart.
2. These lines leave a shadow.
3. Shadows are not evenly dispersed but tend to be clustered.
4. When multiple shadows confluence in a tight range, there is a dark shadow which will provide strong support resistance.
5. Look for dark shadow to offer next turning point.
6. Price will move quickly through empty spaces or bright areas.
Commento:
Add this: Price is inside tight shadow between 66.22 and 65.72. Any minor move above or below could make price supported or resisted. Don't jump gun. It is Friday. G7 this weekend. FOMC mid next week.
Commento:
Opec meeting on 22 June 2018. www.opec.org/opec_web/en/311.htm
