Crude Oil weekly price consolidation
On weekly chart, the ADX hit and dropped below 20 almost 11 weeks ago signaling price consolidation. There is no clear pattern for this consolidation yet but the support/resistance lines of 43/52 respectively look like good places to start. Should the consolidation persist, we could see:
Daily
On the daily chart over the past 3 weeks, we've seen a divergence with price and Stoch, TSI, and RSI. The ADX became overbought (using 35 - 40 as an overbought/sold range on daily). Now, the -DMI and +DMI look like they will cross setting up a change in dominance which would indicate lower prices
4H & 1H
These charts look to confirm the short term down move as both the ADX and -DMI have turned up with price moving down.
- stoch bounce between 80 and 20
- TSI move back & forth across 0
- RSI hold between 60 and 40
Daily
On the daily chart over the past 3 weeks, we've seen a divergence with price and Stoch, TSI, and RSI. The ADX became overbought (using 35 - 40 as an overbought/sold range on daily). Now, the -DMI and +DMI look like they will cross setting up a change in dominance which would indicate lower prices
4H & 1H
These charts look to confirm the short term down move as both the ADX and -DMI have turned up with price moving down.
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