Oil continues its downward trajectory, despite occasional pullbacks. The overall trend remains bearish, reinforced by multiple Death Cross patterns, a classic sell signal indicating further weakness. Adding to this bearish outlook, the critical 38% Fibonacci resistance held firm, and after a retest, prices resumed their decline.
Given these factors, we are placing a market sell order to capitalize on further downside movement. Our profit target is set at $67, a significant support level from recent price action. To mitigate risk in case of a temporary rebound, we are positioning our stop-loss above $71.80, which aligns with the 61% Fibonacci retracement—historically a strong resistance zone.
By entering at these levels, we align our trade with prevailing bearish momentum while maintaining a well-defined risk management strategy. This approach enhances our risk-to-reward ratio, ensuring we capitalize on the ongoing downtrend while protecting against potential reversals.
Given these factors, we are placing a market sell order to capitalize on further downside movement. Our profit target is set at $67, a significant support level from recent price action. To mitigate risk in case of a temporary rebound, we are positioning our stop-loss above $71.80, which aligns with the 61% Fibonacci retracement—historically a strong resistance zone.
By entering at these levels, we align our trade with prevailing bearish momentum while maintaining a well-defined risk management strategy. This approach enhances our risk-to-reward ratio, ensuring we capitalize on the ongoing downtrend while protecting against potential reversals.
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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.