USOIL (4H): After spiking higher oil is trading in a bull channel. It is currently approaching the highs of this bull channel. It has broken the high at $51.57. Will it hold above or will price rotate to the lows of the channel. Note that price is also at the 127.2% extension of a previous swing high. The trend is clearly bullish and I would only be looking for buying opportunities at the low of the channel or on a strong break and pullback of the $51.7x resistance zone. My upside targets are $52.4x (measured move) then $54.00 (127.2% extension). I would only consider selling if price breaks the bull channel as well as trade below $50. I would be looking for a retest of the SMAs. My downside targets are 48.0x (SR zone and 38.2% retrace) then $46.0x (SR zone and 61.8% retracement)
I may trade all, some or none of the ideas posted. All of my contributions are for educational purposes only. 'TRADE What You SEE'' and all the best!
