Not so long ago I heard big investors saying that they would buy Oil significantly below 80 and sell significantly above 80.
I also read that anything below $28 and that the financing for oil projects became too expensive and oil producing nations would not be able to maintain any production.
My plan now would be ...
J61! looked bearish as bearish can be, though they had come out of a larger up trend, so I can only presume that they are correcting and looking for more buyers. "Bulls take the stairs, Bears use an elevator".
The fib says that the Yen has interest here at the 61.8
If you look left we've come down to an area of ...
Oil Down - USDCAD Up, that's the correlation.
If we get 2 closes above the channel , I am looking for Longs. Until then I have to anticipate the lower area of the channel has to be tested at some point.
I didn't take the short, I have a feeling that this is due to go sideways.
However, I was interested to note that the channel held, a fib level held, a market structure held.
So yes, I am an idiot for not taking a Short.
A little higher and you would have to concede that a strong trend could be hard to reverse.
However, just here there is a line in the sand that Bears can take advantage of. Technically.
Fundamentally, USD is working out whether fiscal flows V's Fed Rate Hikes are going to bring the USD down or Up going into 2017. ...
This is to illustrate my theory that if something reaches the 2.618 ext. it usually goes on to the 4.236 ext.
For this to work out I'd need the 113/114 area to have a reversal set up before taking a short.
It hasn't been an exciting trade lately but the range is quite clear.
Price has come down to an area that interests me and I have initiated a long.
It would be great to pop out of the range and test the resistance up at 1.4100
I was thinking this may go a lot higher to complete a 3 drives pattern but when we closed below 0.8500 and the rising trend line I was forced to consider waiting for a pull back to trade down to previous weekly resistance at 0.8100
0.8500 is the line in the sand and I am short from 0.84500 should we get there.