Crude Breaks Trendline Resistance; Allow Setup to take Shape
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
-Crude found support from the line that extends off of the 2012 and 2013 lows.
-Wrote last week that “given the extended nature of the decline and proximity of mentioned levels, a tradeable low may form in early December.” Today’s advance suggests that a larger retracement of the decline from the Aug high.
Trading Strategy: Using today’s large rally as a technical event, look to buy weakness into former resistance at 95.60 with a 93.60 stop. 102-104 is the target area.
LEVELS: 92.38 94.21 95.59 | 96.99 98.74 100.01
--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.