Oil Order Flow - Opens Door To $60.00

In this video I offer my train of thought as to why Oil might be en-route to target as ultimate cyclical target the $60.

The OFA script breaks down what otherwise would be a very messy and chaotic price behavior into neat and visually clear waves.

Remember the two key main features of the OFA indicator:

Magnitude: A major clue that will help determine the health of a trend is the type of progress by the dominant side in control of the trend. We need to ask the following question: Are the new legs in the active buy-sell side campaign as identified by the script increasing or decreasing in magnitude?

Velocity: When it comes to the distance the price moves, the magnitude is only ½ the equation. The other ½ has to do with the velocity of the move or the speed. Was the new leg created after a fast and impulsive move? Or did price make a new low or high with the movement being sluggish, compressive and taking too long to form? A good rule of thumb is to count the number of candles it took to achieve a new leg.