WTI - Correction in focus. Close shorts, get ready for CT long

FX:USOIL   CFDs on Crude Oil (WTI)
Daily (Heiken Ashi candles):
- Heiken Ashi reversal pattern: one doji followed by a green candle
- Slow Stoch gives a buy signal
- MACD gives a buy signal

Chance for a correction up to 57-58 (trend support and Kijun Sen) is increasing.

4 Hrs (regular candles):

- DMI changes to bullish
- weak bullish Tenkan/Kijun cross
- Chikou Span lost open space and got close to Price candles
- Future Kumo overshades Price -> turning to neutral from bearish

Price retested the Kumo and horizontal key support at 49,35. Obviously the first attempt was not succesful to break higher as Kumo is thick enough above Price. Slow Stoch is turning down, but with next buy wave we may see a counter trend (correction) to start, which in case Price breaks through the Kumo (closes above 49,50) can go as high as 57,50.
Watch Price action around Kijun Sen carefully! If Price dip stops and reverses at Kijun Sen with Slow Stoch buy signal, then a small inverted H&S pattern could form, which will also signal a better correction. So first bottom fishing level to try building some counter trend longs is ard 46,75, but size up recommended only if the upper break happens.


The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.