Oil reached support level and - possibly supported by good news out of China w/r containment and treatment of the Corona Virus, and/or China Gov't stimulus - could be ready for a decent bounce here. Risk is fairly clearly defined and I have three targets set.
97 level previous support has already been broken
now being tested, but cant close firmly above
there is also the weekly uptrend bottom channel line (purple) - confluence restance.
expect dollar weakness - ie EURUSD up, USDJPY down
lower timeframe analysis shows trendline (green) broken
technically chart looking to be ready for a short - as a retracement or resumption of the long term down trend
OR if this breaks a significant bullrun could continue
risk is defined, so im placing my shorts
have been away for a while and not charted anything 'properly' and came across a descending and expanding triangle on UJ that sparked my interest. people say this is a reversal pattern and i wanted to log/see the context and other signals we could read at this stage.
the green 'up' arrows are generally the bullish signals, while the red 'down' arrows the more...
looking at two scenarios here.
price action to determine what to do.
Brexit resolution could make this to breakout quite violently to topside, or if that dissapoints, we may see this drop back down. only time and price action will tell.
patience is key.
note that the RSI and Stoch are showing signals over overbought, and that this may come down again, hard.
chart is pretty clear, this is the 8th time we are testing this area. already TP1 and 2 on previous trade and looking to re-enter.
we may expect some drawdown, but continued political uncertainty should way on the pound.
do keep an eye on upside break should BOE surprise and the global tradewar worries ease and equities (and yen) strengthen.