Light Crude Oil Update: Buy Fractal Reverses Bearish Chart
A buy Fractal was generated at $45.58 (Green box). Afterwards.....
There was sideways action for two hours and then the price surged upwards, beyond the wedge.
Currently, all three top indicators are strong.
This morning I was more bearish than bullish. I was waiting for a sell Fractal as confirmation. Look at the one red bar at 9 AM (CHOP ZONE below chart).
This was a failed bearish move. A sell Fractal was not generated.
These three down Fractals prior to the buy Fractal were not valid.
The price action that generated each down red arrow was above the alligator's teeth and/ or inside the jaws. Thus, they were NOT VALID.
As for now, the first upside test is likely to be $46.53.
I believe this upside move is a range bound trade. Why? I do not see CHOP (below the chart) under the shaded area.
This suggests short covering rather than a large upside move.
I have to await a sell Fractal to build my case for a resumption of the down move.
I plan to issue an update at that time.
Good luck to you. Don.
There was sideways action for two hours and then the price surged upwards, beyond the wedge.
Currently, all three top indicators are strong.
This morning I was more bearish than bullish. I was waiting for a sell Fractal as confirmation. Look at the one red bar at 9 AM (CHOP ZONE below chart).
This was a failed bearish move. A sell Fractal was not generated.
These three down Fractals prior to the buy Fractal were not valid.
The price action that generated each down red arrow was above the alligator's teeth and/ or inside the jaws. Thus, they were NOT VALID.
As for now, the first upside test is likely to be $46.53.
I believe this upside move is a range bound trade. Why? I do not see CHOP (below the chart) under the shaded area.
This suggests short covering rather than a large upside move.
I have to await a sell Fractal to build my case for a resumption of the down move.
I plan to issue an update at that time.
Good luck to you. Don.
