Bullish Crude Oil Move
Summary of Analysis:
Current Consolidation: Crude oil is consolidating along a resistance level touched multiple times, which might strengthen the case for an eventual breakout.
Entry and Target Zones:
Initial Long Position: You plan to go long up to approximately $71.10, which serves as an initial target.
Breakout Target Range: If momentum carries through this level with a solid breakout past the trendline, the next target would be in the $73-$76 range.
Additional Points to Consider:
Monitoring Volume: To confirm the breakout strength, high volume on the 4H and 1H frames as price breaches the resistance could be a reliable signal.
Risk Management: Given that oil markets are known for volatility, consider setting a tight stop just below the consolidation zone in case the breakout fails.
Sweep Potential: If back testing suggests this move might lead to a sweep beyond the $73-$76 range, have contingency levels in mind to lock in profits or reassess if conditions change.
This setup looks poised for an interesting opportunity, especially if broader market conditions support a bullish momentum.
Good Luck!
Current Consolidation: Crude oil is consolidating along a resistance level touched multiple times, which might strengthen the case for an eventual breakout.
Entry and Target Zones:
Initial Long Position: You plan to go long up to approximately $71.10, which serves as an initial target.
Breakout Target Range: If momentum carries through this level with a solid breakout past the trendline, the next target would be in the $73-$76 range.
Additional Points to Consider:
Monitoring Volume: To confirm the breakout strength, high volume on the 4H and 1H frames as price breaches the resistance could be a reliable signal.
Risk Management: Given that oil markets are known for volatility, consider setting a tight stop just below the consolidation zone in case the breakout fails.
Sweep Potential: If back testing suggests this move might lead to a sweep beyond the $73-$76 range, have contingency levels in mind to lock in profits or reassess if conditions change.
This setup looks poised for an interesting opportunity, especially if broader market conditions support a bullish momentum.
Good Luck!
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