Tuesday, July 5, 2011

Quiet Day.... CL

It is a quiet trading day yesterday.

Lets see some chart...

Added CL into my trading watch list,
27th June, CL hit low 89.61 and well supported at 200 days moving average, after 2 days of rebound, hitting 95.84 high on 30th June, it is currently resisted at 95.50-95.80 it has been doing 3 days of consolidation, currently trading at 94.95.

To fulfil my wave reading, CL need to at least rebound 50% to 96.03, but with current bearish sentiment (lower high, lower low on 1 hour chart), we may only see a 1/3 retracement, then CL continue to trade down.  Although I favour to short this market, I reckon 2 secarios:

1. False break to 96.03, form divergence in small time frame (30 mins), form reversal candlestick and down.
2. Resisted at 95.50-95.80 region, waiting for fundamental news trigger sell down to break 93.80-93.40, and going to support 92.40.  While I prefer this to happen...

Intraday trade:
Short at initial shadow (50 cents) 94.95 + 0.50 = 95.45
SL 95.85
TG 93.85

1 comment:

  1. Trading the August month.
    Price feed from broker is different.
    Short at 95.53 SL 95.89 (40) TG 93.49 (200)