Potential 470 ticks: I am looking for a potential Long and Short play in Oil short term. I was recently bearish minded at 74.12 but following the price action this past week I believe we may have another run up coming potentially due to geopolitics involving the Hormuz straight. Trade on the chart is self explanatory based on 2014 Supply/Demand levels.
Note: If geopolitics do not heat up short term over the Hormuz Straight, then I believe prices will still test 75.3-75.6 this week; that would be a good level to take partial profits.
Long Entry: 73.82-74.12 (Entry is active)
Target: 76.49
Short Entry: 76.49
Target: 74.12
@kate25 We can rename the chair pattern the "Hormuz Straight Pattern" if this plays out. :)
s3.amazonaws.com/tra...shots/l/lCyUVBYT.png
If this does happen then I believe prices may enter a long term approximately 5 dollar sideways extended range, hitting strong supply levels but waiting 2 or 3 months for a larger pullback as heavy puts start to decay similar to the Nov 2016-March 2017 Range.
s3.amazonaws.com/tra...shots/h/htXjYPrq.png
Good trading all!
Note: If geopolitics do not heat up short term over the Hormuz Straight, then I believe prices will still test 75.3-75.6 this week; that would be a good level to take partial profits.
Long Entry: 73.82-74.12 (Entry is active)
Target: 76.49
Short Entry: 76.49
Target: 74.12
@kate25 We can rename the chair pattern the "Hormuz Straight Pattern" if this plays out. :)
s3.amazonaws.com/tra...shots/l/lCyUVBYT.png
If this does happen then I believe prices may enter a long term approximately 5 dollar sideways extended range, hitting strong supply levels but waiting 2 or 3 months for a larger pullback as heavy puts start to decay similar to the Nov 2016-March 2017 Range.
s3.amazonaws.com/tra...shots/h/htXjYPrq.png
Good trading all!
Comment:
Of course the potential path laid out on that chart is pie in the sky at this point.
Order cancelled:
On further analysis I've decided to cancel this trade before the weekend opens. I will republish - but only include the long view as with current geopolitics, I believe there is the possibility for prices to press above 76.5 and not pullback. So, in short, I DO believe we will see prices press up to 76.5 so a long at current price targeting 76.5 is a good trade in my opinion. However, I am now seeing potential for prices to continue pressing up with potential for 80-82 prior to a sizable pullback.
A new chart will be published tomorrow prior to market open.
A new chart will be published tomorrow prior to market open.
Comment:
s3.amazonaws.com/tra...shots/t/tLDbyT8y.png