Hello dear energy sector fans & oil traders, hope you're doing well! ;) Welcome to this special analysis on the WTI Crude Oil.
On the monthly chart we're currently inside a nice Equilibrium/tightening range, which will see a breakout coming towards the end of this year. This Equilibrium is also perfectly visible on the Weekly chart:
=> A break of the range highs at $60 could lead to $65 and $75, giving 5-25% profit.
A break of the range lows at $52 could lead towards $45, giving around 17% profit for short sellers.
On the Daily chart we have successfully made a Morning Star reversal at $55 and are currently trying to make that zone to a higher Low compared to $52 of the Equilibrium range.
What about the fundamentals?
While we currently have the tanker issues still going on between Iran and Great Britain, it doesn't seem to have a huge impact on the price: The market is not expecting a costly war between those parties.
Moreover the market is fundamentally still dictated by weak industrial & manufacturing activity: Supply is still stronger than demand.
If you had some value from my analysis, give it a thumbs-up & comment it, because the mechanism shows my analysis to other people then. Make also sure to follow me so you get notified on my analyses! I wish you a good trading! :)
Edgy is providing online mentorship & trading metrics only. We are not a financial advisor, nor do we hold any formal qualifications in this area. You're trading at your own risk. No matter what you do, please set your stop loss. Please be aware, that you can lose all your money on the online exchanges.
On the monthly chart we're currently inside a nice Equilibrium/tightening range, which will see a breakout coming towards the end of this year. This Equilibrium is also perfectly visible on the Weekly chart:
=> A break of the range highs at $60 could lead to $65 and $75, giving 5-25% profit.
A break of the range lows at $52 could lead towards $45, giving around 17% profit for short sellers.
On the Daily chart we have successfully made a Morning Star reversal at $55 and are currently trying to make that zone to a higher Low compared to $52 of the Equilibrium range.
What about the fundamentals?
While we currently have the tanker issues still going on between Iran and Great Britain, it doesn't seem to have a huge impact on the price: The market is not expecting a costly war between those parties.
Moreover the market is fundamentally still dictated by weak industrial & manufacturing activity: Supply is still stronger than demand.
If you had some value from my analysis, give it a thumbs-up & comment it, because the mechanism shows my analysis to other people then. Make also sure to follow me so you get notified on my analyses! I wish you a good trading! :)
Edgy is providing online mentorship & trading metrics only. We are not a financial advisor, nor do we hold any formal qualifications in this area. You're trading at your own risk. No matter what you do, please set your stop loss. Please be aware, that you can lose all your money on the online exchanges.
