Oil prices completed the trades of last week with a steady growth, having updated the record highs for the last four years. Investors are reacting to the aggravation of geopolitical risks in Syria.
The market is concerned about the development of the crisis in the trade relations between the US and China, which have not made progress on the issue of import duties.
At the end of last week, the Baker Hughes report on active oil platforms in the US was published. After a short decline, the figure resumed its growth and rose from 808 to 815 drilling rigs.
Support and resistance
Bollinger Bands in D1 chart show moderate growth. The price range is slightly expanded, while remaining spacious enough for the current activity level in the market. At the moment, the instrument is trading near the upper limit of the range.
It is reasonable to maintain the position out of the market and wait for the final signals on the corrective decline to appear in the short and/or ultra-short term.
Resistance levels: 67.50, 68.00.
Support levels: 66.36, 65.81, 65.25, 64.50.
Trading tips
To open long positions one can rely on the breakout of the level of 67.50, while maintaining "bullish" signals from technical indicators. Take-profit – 68.50. Stop-loss – 66.75. Implementation period: 2 days.
A breakdown of the level of 66.36 may be a signal to correctional sales with target at 65.00 or 64.50 marks. Stop-loss – 67.00. Implementation period: 2-3 days.
Scenario Timeframe Intraday Recommendation BUY STOP Entry Point 67.55 Take Profit 68.50 Stop Loss 66.75 Key Levels 64.50, 65.25, 65.81, 66.36, 67.50, 68.00 Alternative scenario Recommendation SELL STOP Entry Point 66.30 Take Profit 65.00, 64.50 Stop Loss 67.00 Key Levels 64.50, 65.25, 65.81, 66.36, 67.50, 68.00
Hello LiteForex,
Umm ... I think you need to keep up with your chart a bit more.
Spot on your chart is $66.36 so its already below your suggested entry of $67.50. Your TP is $68.50 a profit of $1.00 before costs and your SL is $66.75 (already out of the money) for a loss of ... $0.75
So the Risk Reward is 1.00 : 0.75 ??? Are you sure ???
Then to open a short if below 66.36 (which it is) Your stop is 67 ... which is less than your open long entry (67.50) ???? ... and why 67 ??? 67.60 is the swing high. 67 is an even money short trap for sure.
Syria is not an oil producer. Russia is. So the Syrian effect (priced in last week after Trump's first tweet) was over before it even started. Maybe its really because CL1! which is the actual NYMEX futures contract and not a CFD rolls this week .... First Notice Day. CL2! is June and volume has been dropping markedly on this contract all last week .... so maybe profit taking ???
Anyway, you have a lot of followers ... so I think you need to check your facts and advice so they don't do their dough if they act on your "Trading Tips"... just sayin ...
... and just my 2c worth ... and I am no expert ...
Umm ... I think you need to keep up with your chart a bit more.
Spot on your chart is $66.36 so its already below your suggested entry of $67.50. Your TP is $68.50 a profit of $1.00 before costs and your SL is $66.75 (already out of the money) for a loss of ... $0.75
So the Risk Reward is 1.00 : 0.75 ??? Are you sure ???
Then to open a short if below 66.36 (which it is) Your stop is 67 ... which is less than your open long entry (67.50) ???? ... and why 67 ??? 67.60 is the swing high. 67 is an even money short trap for sure.
Syria is not an oil producer. Russia is. So the Syrian effect (priced in last week after Trump's first tweet) was over before it even started. Maybe its really because CL1! which is the actual NYMEX futures contract and not a CFD rolls this week .... First Notice Day. CL2! is June and volume has been dropping markedly on this contract all last week .... so maybe profit taking ???
Anyway, you have a lot of followers ... so I think you need to check your facts and advice so they don't do their dough if they act on your "Trading Tips"... just sayin ...
... and just my 2c worth ... and I am no expert ...