Oil price is down, being corrected, but the middle-term trend is upward
Oil price is approaching the key support to the middle-term uptrend [68.05 – 67.74]. After it reaches the zone, I recommend looking for purchases with a target to renew this week’s high. A part of positions, if everything goes according to the plan, can be held on in Target Zone 3 [73.86 – 73.55].
Let’s analyze the local short-term trend.
Oil is trading down in the short-term. According to the trading system, there should sell positions, opened with a target in Target Zone [68.05 – 67.74]. There was an opportunity to enter sells in Additional Zone [69.34 – 69.26] yesterday.
I recommend you to close all positions in TZ and follow how oil traders will respond to the middle-term support test. If WTI price is corrected, I suggest looking for sells; if the key resistance, Intermediary Zone, is broken out, we shall buy the instrument on the next day.
WTI trading tips for today:
Hold on a part of sell positions in Additional Zone [69.34 – 69.26]. TakeProfit: Target Zone [68.05 – 67.74]. StopLoss: at breakeven.
XAUUSD quotes are being corrected in the middle-term uptrend. Yesterday, the zone of good buy prices [1194.3 – 1180.2] was tested. I feel like buying gold, but there hasn’t been a buy signal, according to technical analysis.
Therefore, I suggests expecting a signal/a pattern in shorter timeframes to buy. The target is the last week’s high and Target Zone 2 [1225.3 – 1222.2].
I suggest selling for the intraday trading, as the local trend is downward. Additional Zone [1198.2 – 1197.4] has been tested at the Asian session today. According to the trading recommendations, we should have sell position opened with the targets at 1190.0 and in Target Zone [1183.3 – 1180.2].
If the instrument price is being corrected deeper towards Intermediary Zone [1206.7 – 1205.1], I recommend you to look for sells again, but according to the pattern already. The targets will be the same.
XAUUSD trading tips for today:
- Don’t close sell positions in Additional Zone [1198.2 – 1197.4]. TakeProfit: 1190.0, Target Zone [1183.3 – 1180.2]. StopLoss: 1205.
- Sell according to the pattern in Intermediary Zone [1206.7 – 1205.1]. TakeProfit: 1190.0, Target Zone [1183.3 – 1180.2]. StopLoss: according to the pattern rules
Silver sellers managed to consolidate below Target Zone 4 [14.39 – 14.31]. Therefore, there is the new middle-term target in Target Zone 5 [13.67 – 13.59]. I recommend looking for sell trades in the key resistance.
Let’s look at the shorter timeframe.
Target Zone [14.23 – 14.16] was broken out and the new target in the local downtrend is Gold Zone [13.87 – 13.83].
Silver price is being corrected locally and buyers are testing the strong resistance Additional Zone [14.16 – 14.14]. I recommend looking for short trades according to the pattern. The target is the local low + GZ.
If Intermediary Zone [14.35 – 14.32] is reached also suggest selling.
XAGUSD trading tips for today:
- Sell according to the pattern in Additional Zone [14.16 – 14.14]. TakeProfit: 13.97, Gold Zone [13.87 – 13.83]. StopLoss: according to the pattern rules.
- Sell according to the pattern in Intermediary Zone [14.35 – 14.32]. TakeProfit: 13.97, Gold Zone [13.87 – 13.83]. StopLoss: according to the pattern rules.
IZ - Intermediary Zone: responsible for the price momentum reversing.
TZ - Target Zone: a zone that is 75% likely to be reached after IZ breakout.
GZ - Gold Zone: zone in the medium-term momentum.
All zones are calculated based on the average daily price of the instrument and margin requirements of the futures.
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Price chart of USCrude in real time mode
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