A medium-term uptrend continued for oil yesterday, driven by news on oil reserves. As a result, we saw a breakout of Target Zone 2 [67.25 – 66.91] and a new local extremum.
The next target of bears will be Target Zone 3 [63.80 – 63.46], while the key resistance moves to [69.60 – 69.26].
The news had an effect on the local trend. The Intermediary Zone [67.43 – 67.25] was broken out yesterday. It means, the trend is downward now, and the target is Target Zone [65.70 – 65.36].
I recommend selling the tool once Additional Zone [66.76 - 66.67] has been reached. Another level for looking for sales is correction IZ [67.71 – 67.53]. A pattern to sell should be searched for from there.
For buying, a breakout of the level 67.71 and closure above it are required.
WTI Trading decisions for today:
- Sell from Additional Zone [66.76 - 66.67]. TakeProfit: Target Zone [65.70 – 65.36]. StopLoss: 67.12.
- Sell according to the pattern from Intermediary Zone [67.71 – 67.53]. TakeProfit: Target Zone [65.70 – 65.36]. StopLoss: According to pattern rules
Buyers don’t let the price drop below Target Zone 5 [1210.2 – 1207.1], but the downtrend continues. Correction towards the key resistance [67.71 – 67.53] is highly probable now.
The local short-term trend remains downward, but there are some preconditions for a change: an accumulation zone formed between IZ and TZ on a shorter time frame. An upward exit will be likely to result in the breakout of the resistance.
Wait and don’t hurry to open trades. If IZ [1221.6 – 1220.0] is broken, we’ll be buying XAUUSD on the next trading day. If the zone is held and a pattern to sell is formed, we’ll be selling within the current trend with a target at [1204.2 – 1201.1] (target zone).
XAUUSD Trading decisions for today:
Sell according to the pattern from Intermediary Zone [1221.6 – 1220.0]. TakeProfit: Target Zone [1204.2 – 1201.1]. StopLoss: According to pattern rules
Traders in silver continue building positions. The key resistance is at [15.92 – 15.85]. Once it’s reached, look for sales.
The local trend remained unchanged: “Buy” priority with a target in the Target Zone [15.92 – 15.85].
For today, I recommend holding long positions with stop loss at 15.23. Partial fixation at the update of July’s peak.
Alternative scenario: sell XAGUSD after a breakout of Intermediary Zone [15.26 – 15.22]. The lower TZ [14.90 – 14.82] will be a target in this situation.
XAGUSD Trading decisions for today:
Hold long positions from Intermediary Zone [15.26 – 15.22]. TakeProfit: 15.61, Target Zone [15.92 – 15.85]. StopLoss: 15.23.
IZ - Intermediary Zone - Reflects changes in priority directions of price movements
TZ - Target Zone - The zone which will be reached with a 75% chance once IZ has been broken through.
GZ - Gold Zone - The zone in a medium-term impetus
All the zones are calculated based on a daily average movement and margin requirements of the futures market.
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Price chart of USCrude in real time mode
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