After a significant breakdown from the rising channel structure WTI Crude Oil experienced an aggressive drop from the $73–$74 region leading to a change of character (CHOCH) and breaking through key trendline support This movement marked the end of the previous bullish structure and ushered in a sharp bearish impulse
Key Observations:
Bearish Divergence A clear bearish divergence at the top near $73 signaled weakening momentum which was followed by a steep decline
CHOCH Confirmation The structure break below trendline support confirmed the shift from bullish to bearish sentiment
Liquidity Grab Below $59 Price aggressively swept liquidity below $59 (marked by the blue zone) before bouncing back hinting at a potential bottom or temporary support zone.
Current Price Action:
WTI is now consolidating within a range (gray box) after the bounce trading around $61.50–$62.00.
If the price holds above $60 and manages to build a base we may see bullish continuation toward the next resistance levels.
Bullish Scenarios:
1. Short-Term: A breakout above the range could target the $65.00 and $66.37 levels
2. Medium-Term: Sustained momentum could push price toward $67.68 and possibly $68.81 where higher timeframe resistance lies.
Conclusion: As long as price remains supported above the $58.93 liquidity zone and builds strength above $61–$62 the recovery setup remains valid This could offer a great opportunity for bulls to step in and target the inefficiencies left behind
during the sell-off $59.00
Resistance: $65.20, $66.50, $67.60, $69.00
Support: $60.50, $59.50
Always manage your risk and wait for confirmation before entering any positions...
Key Observations:
Bearish Divergence A clear bearish divergence at the top near $73 signaled weakening momentum which was followed by a steep decline
CHOCH Confirmation The structure break below trendline support confirmed the shift from bullish to bearish sentiment
Liquidity Grab Below $59 Price aggressively swept liquidity below $59 (marked by the blue zone) before bouncing back hinting at a potential bottom or temporary support zone.
Current Price Action:
WTI is now consolidating within a range (gray box) after the bounce trading around $61.50–$62.00.
If the price holds above $60 and manages to build a base we may see bullish continuation toward the next resistance levels.
Bullish Scenarios:
1. Short-Term: A breakout above the range could target the $65.00 and $66.37 levels
2. Medium-Term: Sustained momentum could push price toward $67.68 and possibly $68.81 where higher timeframe resistance lies.
Conclusion: As long as price remains supported above the $58.93 liquidity zone and builds strength above $61–$62 the recovery setup remains valid This could offer a great opportunity for bulls to step in and target the inefficiencies left behind
during the sell-off $59.00
Resistance: $65.20, $66.50, $67.60, $69.00
Support: $60.50, $59.50
Always manage your risk and wait for confirmation before entering any positions...
Trade active
trade bullishmoment before 59.00Note
250pips Runn next week Flying in the zone...
Related publications
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.
Related publications
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.