Hi everyone:
USOIL has a nice sell setup forming. We can see the price action made a double tops on the 4 hr chart, and broke down from the wedge. Now the price action is pulling back to form a lower high. Entering when there is a confirmation of resistance and rejection is a good idea.
Potential target down to the lows of 44.00 and 43.00 area.
Thank you for...
Technical:
Bullish case: channel bottom and severely disconnected from moving averages. We see potential closing above a down-trend for the first time in 5 weeks (above 42.96 to accomplish this). If pattern holds, find yourself at the top of the channel (~49.25) within 2.5 to 4 weeks as the spike is has historically been faster than the fall.
Bearish case: Below...
Here's a crazy notion, and I am taking it. I am buying this dip on WTI . The rational is simple: It goes against everything the market is doing , and that is exactly the reason to do it.
Who is left to sell? Is there more supply that will all of a sudden show up and be sold? No more than normal. It is the specs I am targeting.
My position is going to be...
Our preference: sales position below 46.28 with targets at 45.65 & 45.25 in extension.
Alternative scenario: exceeding 46.28, aiming for a continuation of the increase with 46.80 & 47.57 in line of sight.
Comment: The RSI is mixed and calls for caution.
![USDWTI: USOIL/CL1!/WTIUSD [Pattern & Big Wave PRZ ]](https://s3.tradingview.com/t/TzG6sPpB_mid.png "USOIL/CL1!/WTIUSD [Pattern & Big Wave PRZ ]")