Hi Traders! Oil forecast update and follow up is here. On August 27th I shared this “Oil Forecast” in Trading View. In this post, let’s do a recap of this setup and see how it has developed now. If you would like to learn more about the way we trade and the technical analysis we use then check out the Traders Academy Club. Spoiler alert – free memberships are available!
Missed this trade?
Never miss a trade opportunity again! Join the Traders Academy Club
Now let’s summarize the idea first:
Oil D1(Daily) Chart Analysis
Oil D1(Daily) Chart Current Scenario
Based on the above-mentioned analysis I was expecting a correction to happen here until the strong resistance zone holds. The price was holding the strong resistance zone, respected it, and is currently moving lower as I expected it to. You can see this move clearly on the H4 chart.
Oil H4(4 Hours) Chart Current Scenario
On the H4 chart, the market provided us with facts supporting the bearish view. First of all, we had a bearish divergence between the first high that has formed at 43.50 and the second high that has formed at 43.76 based on the MACD indicator. Then the price moved lower and broke below the most recent uptrend line. Most importantly there were no contradictory signs. The price then moved lower further as I expected it to delivering a fantastic move to the downside.
(Note: You can learn about a Killer Forex Strategy “Double Trend Line Principle” here)
So, traders, this is why I wanted to show this example to help you understand how important it is to follow the facts. The facts were supporting the bearish view here and there were no signs against it. When the facts do happen as we expected you can see how the price perfectly moved as per the plan. Because these are the kind of hints the market provides us at majority of the times and it’s our obligation as traders to be able to listen to these things that the market tells us and we should try to make the right actions.
(Note: You can follow me here on Trading View and also on my blog to get similar ideas on a daily basis)
For similar trade ideas and much more join the Traders Academy Club and get access to our complete watch list and trade report.
This is how the report looks like. A table with the hottest market opportunities, screenshot behind every pair and time frame (anything that is in blue inside the table is clickable and leads to a screenshot) + a summary in text format, kind of highlights. And of course Live Market Analysis every single day.
If you have any further questions, don’t hesitate to drop a comment below!
To your success,
Vladimir Ribakov
Certified Financial Technician
