The price of US Oil has not consistently traded above the May 2011 high at $114.79 since the high was formed as price has not remained above this level.
Price did move above this resistance in March, May, and June, but the sellers forced price back down again.
We have a major support level below price in the form of the $100 round number, which may prevent price from declining further.
So far this month, the candle is bullish, but this could change as we are only a few days into the month. If the buyers can gather enough momentum, we should see another attempt above resistance.
There is nothing to do now except wait for a clear trend direction to form. Trying to go long now could see your position close out for a loss if price reverses sharply at resistance again.
If you like enjoyed this post, make sure to like, and follow for more quality content! If you have any questions or comments, comment below. We reply to every comment!
See below for more information on our trading techniques.