Hello everyone. Directly jump to the conclusion, I think crude oil might go testing the level of $114 it created in 2011 due to global economy recovery and chart patterns.
To better map out, I marked the key turning points on the monthly chart with brief description that I believed to be the reasons behind the movement. I did my homework, so let me know if I'm wrong or incorrect.
On the chart, I've marked 6 points, a/b/c/d/e/f. Now, it's forming the seventh point with strong momentum to the upside after taking out e level. If you zoom in, e served well as a defense line for the first round attack by buyers, leading to a $14 drop from $76 to $61. Actually, e is also the 61.8% fib retracement. However, the level couldn't hold for the second round.
Based on supply & demand analytical process, I couldn't find any significant level on the left side except c and a points that caught my eye. Probably, trouble level around $85 and $92. I'm afraid those levels may not hold the buyers back.
I also dew an uptrend line marked in black color. That line has been respected well since the low created April of last year. Unless it's violated, I will be bullish on crude oil on monthly timeframe with big target of $114.
To better map out, I marked the key turning points on the monthly chart with brief description that I believed to be the reasons behind the movement. I did my homework, so let me know if I'm wrong or incorrect.
On the chart, I've marked 6 points, a/b/c/d/e/f. Now, it's forming the seventh point with strong momentum to the upside after taking out e level. If you zoom in, e served well as a defense line for the first round attack by buyers, leading to a $14 drop from $76 to $61. Actually, e is also the 61.8% fib retracement. However, the level couldn't hold for the second round.
Based on supply & demand analytical process, I couldn't find any significant level on the left side except c and a points that caught my eye. Probably, trouble level around $85 and $92. I'm afraid those levels may not hold the buyers back.
I also dew an uptrend line marked in black color. That line has been respected well since the low created April of last year. Unless it's violated, I will be bullish on crude oil on monthly timeframe with big target of $114.
Nota
Trend continues.Nota
We got a nice pullback and test of the red uptrend line. Nota
Retest and go up again to challenge previous high.Nota
It's approaching redline that I drew previously. It's a buying opportunity for long term bullish buyers. 
plan your trade and trade your plan
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.
plan your trade and trade your plan
Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.