1. The past few days has saw a drop in the price mainly due to reports on OPEC output in October reached an all-time high. This lead to a further decrease which finally complete the .
2. A reversal candle ( ) was formed the following day (14 Nov) with a long tail signalling bulls overcoming the bears at EOD . Mainly driven by renewed hopes of OPEC output deal.
3. Breakout of previous day lead an opportunity to long and my entry was around the area stated, with a Stop Loss placed around the support region indicated.
4. I have identified 3 potential and they fall nicely into the fib retracement 0.236, 0.382 and 0.618 area.
5. The first break will cause more conservative traders to go on a long due to a 2nd breakout and short position traders will start covering their shorts which becomes the driving force to push further up.
6. Still, upcoming OPEC deal will be the crucial driving force for it to either trumps or fall. It will still be volatile during this period.
7. My exit strategy will be on a trailing stop in this case.