In my previous post I wrote about the bullish set up in the technical charts. I outlines the right wing broadning pendant, long term trendline, and long term ascending triangle. I pointed out the possible risk of the IRAN deal being singed, fortunately for oil it appears that those talks have ended, as a result of the due date for a deal has passed.
So now what?
Well we are right at resistance as seen by the previous 3 rejections. We got rejected over night, but it appears that the rejection is not as strong this time. Its still early to say, but based on the current candle we have a green candle, which indicates that buyers have come in and bought the rejection. This is different to the previous 3 rejections, where the rejection resulted in rapid selling, and buyers didnt come in until it hit the lower trend line.
So now what?
Well we are right at resistance as seen by the previous 3 rejections. We got rejected over night, but it appears that the rejection is not as strong this time. Its still early to say, but based on the current candle we have a green candle, which indicates that buyers have come in and bought the rejection. This is different to the previous 3 rejections, where the rejection resulted in rapid selling, and buyers didnt come in until it hit the lower trend line.