Quick Update On WTI Crude Oil – Is it a Good Time to Short?
Arslan Butt • 1 min read
We’ve had a nice start to the week with two take profits on the table. For the moment I’m looking to trade a very nice setup on Crude Oil.
Sell-off In Crude Oil
The Crude Oil had a great sell-off on Friday in response to the stronger Dollar. As we know, there’s a negative correlation between the Crude Oil and US dollar. This means the stronger Dollar makes the Crude Oil expensive for the other countries. Hence, reducing demand for the commodity.
WTI Crude Oil – Technical Analysis
At the moment, the Crude Oil is holding above a solid support extended by a double bottom pattern at $64.50. The technical side of the market is taking a bullish turn. On the 4-hour chart below, the bullish trendline is also underpinning the commodity above $64.55.
Crude Oil – 60 Min Chart
We are getting another bullish confirmation from our leading indicators RSI and Stochastics. Both of these are directed upward, crossing above 50. Check the crude oil’s weekly support and resistance level to get a better sense of the market.
WTI Crude Oil – Trading Plan
Fellas, I’m looking to stay bullish above $65.10 while having a stop below $67.85 and take profit above 65.30 and $64.65. Good luck!