I warned you yesterday just in time (above 38 USD) on Twitter, that a pull back in WTI was possible. By now the pull back is confirmed, and Price continues to dip towards daily supports.
Weekly: - The major bearish trend seems to be broken, but Kijun Sen may block further gains for now (Ichimoku is still bearish biased). I think we will not see a lower low, market will rather stuck in range for a few more weeks. - Heikin-Ashi weekly warning: after printing a high, haDelta/SMA3 shows Oil is losing counter bullish momentum. - EWO is still bearish
Daily: - Price broke above Kumo, but moved too quickly too far away from Kijun Sen -> consolidation/pull back was necessary. Future Kumo is bullish. - Heikin-Ashi (candle and haDelta) warned about a possible downturn yesterday. Pull back is confirmed today: red candle, haDelta back below zero. - HA Oscillator turns red. - EWO is still bullish, but it looks like 1st Wave is done. - Possible support where we may start looking at buy signals again: 35,50 / 34,55 / 33,50
We don't know how deep the pull back goes. But setup doesn't favor bulls any more. Actually it doesn't match strategic bearish criteria either, as the two time frames do not coincide. I closed all longs. For now just be patient, and wait until we see another firm signal. I still prefer buying Oil, just not here and now, but at stronger supports if signal confirms.