Short

USOil | New perspective for the week | Follow-up detail

Updated

This is a follow-up video on my previous analysis as a breakdown of the demand zone at the $83 area appears to be a bearish signal. In the next week, I expect to see the price move back into the $83 area where a rejection or breakout of this level might signal the direction of price action.

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Since testing the highest point it has reached at $80 this week, a final breakdown of the $79 level appears to incite a trend continuation to the downside.

Good morning

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Re-entry in profit; moving my stoploss

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Price continues to move as expected; another opportunity to add position to existing trade.

Good morning

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Price is still within the sell window which is around 50 and 78.6% of the previous leg hence the bearish opportunity remains valid. Below the $79 area remains a comfortable zone to sell

Note

Selling momentum appears to be stalling as the price was unable to break below the previous low in the last 24 hours. Could this be the beginning of a reversal pattern aiming at the $83 zone?

Moving my stop-loss

Good morning

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Stopped at break-even and price action appears to be evolving into a reversal pattern. A retest of the structure might confirm a bullish momentum... waiting for entry opportunities.

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Patience is required here as I hope to see rejections of the neckline at the $79 area to buy the USOil.

Good morning

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I shared a full scope of how and why I took this selling opportunity despite sighting a breakout of the neckline yesterday during my live studio session which is shared on my youtub channel. Let's see what happens if the price gets to the $79 area (my TP target for the selling opportunity).

Trade closed manually

Market structure is looking bullish at the moment. I am on the road hence won't be able to give a detailed analysis... I will be dropping something as soon as I am back. Cheers

Note

Pulling up in a parking lot now...

So, the price action is at a very critical zone at the $83 zone where a reversal move to the downside is possible considering the significant structure in the past when it has served as a sell zone. To be sure of this proposed bearish move, I want to see a breakdown of the newly identified bullish trendline for a signal. However, if a significant breakout/retest of the $83 zone happens then preparation for a bullish momentum will be put in place.

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Even as I have sighted a breakdown/retest of the bullish trendline (which I projected yesterday evening); I am of the opinion that the likelihood of a bullish momentum still lingers and this observation is as a result of multiple rejections of the $81 by the buyers hereby making this zone a temporary demand zone at the moment hence I will be looking forward to a breakout/retest of the $83 zone to buy the USOil. However, if the price breaks down/retests the demand zone at $81, then I will be looking at selling options.

Good morning

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And this is what will be happening (screenshot below) if a breakout of the $83 level does not happen - selling option right below the $81 zone (breakdown of the demand zone will be negating all bullish expectations)

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Triggered

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Buying pressure appears; moving my stop loss

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150 pips in profit.

Good night and happy weekend

darcsherry

Trade smart. Trade consciously

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USOil | New perspective for the week

by darcsherry

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