Crude oil has shown a promising downtrend respecting key levels where it's seen to be giving beautiful entries on its visibly apparent journey south. Currently, a high test close rejecting 99.60 after a pullback presents another such entry with a target area aimed at 88.50. 99.60 is within close proximity to the 38.2% Fibonacci retracement level. Today's high test close is well below both these levels and is seemingly prepared to continue trending short.
A potential hick up to this short trade is bullish divergence on both the Stochastic and RSI. Other than that, price action seems to dictate a healthy trend continuation move with a hulking potential ninefold reward:risk profile.
entry - below today's high test close
stop - above today's high test close
target - ~88.50
A potential hick up to this short trade is bullish divergence on both the Stochastic and RSI. Other than that, price action seems to dictate a healthy trend continuation move with a hulking potential ninefold reward:risk profile.
entry - below today's high test close
stop - above today's high test close
target - ~88.50