I see some downside on USOIL/WTI - about time. Price has made it to a previous resistance area. It has started to roll over on lower time frames. We have an over bought RSI, MACD divergence on the daily and a very clean "Bearish Pennant" pattern developed on the weekly chart. I'm just looking for a 2:1 snag here, maybe let some run to the next support area at $42 ish, we will see. The area we are at is a previous resistance area, and has hit the 61.8% Fib level, very convincing. I see a shooting star on the daily with other reversal candles, this is in conjugation with a textbook shooting star on the weekly. Putting it all together I will be dropping time frames to find a nice clean entry into this short. 1% risk, 2:1RR - Happy Trading!
Trade closed manually:
I've manually closed this trade, Trump went a tweeted upsetting the technical outlook, I'll look to enter this down the road, maybe
I moderate a small community 4 traders, analyzing weekly charts, and discussing trade setups. Focusing on psychology.