Bad Bad Thing Sometimes you have to own up to an over-ambitious call, this one made worse by sheer blindness, which really stings. It ain't an eroor in the chart which is as good as gold still right now. More an error with the pilot...who spotted a large and still bona fide reverse head and shoulders with an eventual upside target at 91.86 - but completely failed to see the very obvious smaller reverse head and shoulders shown on the chart, this time with an upside target at 80.15. Yesterday, that level was reached. My very bad. Sorry for that blind oversight. Now Brent is unwinding within a range bounded by 80.15-80.57 on the upside and 77.85 on the downside. This range belongs to day traders in the neat term, selling off the high line and buying back off the 78-77.85 range. If Brent is to go into a longer period of consolidation it should be now, from the top of the completed smaller RHS target at 80.15. If so, it will soon go on to break below the 77.85 level and that should trigger swing traders short looking for a test of 72.69 and the lower dynamic before it bounces away to the upside again. Worth following once we see it. Returning to the upside Brent has to break and hold above 80.60 to trigger the next long from here up to 87. The next resistance level of any real significance above here lies at 88.35 and then 91.86 which is the longer term target implied by the larger and more ambitious of the two RHS's. Until then, unless day trading this complex, swing traders are advised to await the next signal here before following with stops around 50 pips or so above/below the break levels when triggered.
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.