This report is being updated live during the business hours of the market so that traders can get accurate and fresh levels
Risk Diagnosis:
The biggest risk at this time is that a large distribution can continue to be constantly aggressively sold in the market after breakdown. The major levels of danger include a close support of $1293.8 on the bottom and a tight resistance of $1360 on the top
SOME TECHNICAL INDICATIONS ARE RELIEVED FOR BUYERS WHEN IT COMES TO MARKET FRAMEWORK. RSI (RSI) HAS FALLEN ON $1293.88 TO 24.07, WHICH SHOWS THAT THE MARKET IS IN OVERSOLD ZONES, AND CAN SEE A PULLBACK OR REVERSION FROM HERE. THE CURRENT QUOTE IS TOUCHING THE LOWER BOLIGENER BAND (1292.65 DOLLARS), GIVING SIGNALS TO THE SPEED OF THE SELLING. AS WELL AS MFI, OVERSOLD HAS REACHED A VERY CLOSE WITH 20.81
ON THE OTHER HAND, THE FLEET OF DECELERATORS I.E. CELLARS IS COMPLETELY OVERWHELMING. SUPERTREND IS CONSTANTLY SHOWING DOWNTRENDS AT THE LEVEL OF 1381.26 DOLLARS. THE PRICE IS SLIPPED BELOW THE MOVING AVERAGE (SMA) OF 20,50 AND 200 DAYS, INDICATING A CLEAR SLOWDOWN. ALSO MACD (MACD) IS MADE AT -35.61, WHICH IS BELOW ITS SIGNAL LEVEL -22.07 AND SHOWING THAT THE MOMENTUM AND FASTER OF THE SOLD. IF PRICES GO ABOVE $1381.26, THE BULLISH VIEW WILL BE INVALID, WHILE THE CURRENT TREND WILL GO DEEPER ON THE BOTTOM OF $1290.00
Patterns & Levels:
The head and shoulders pattern made at a level of 1450 dollars on the chart pattern is now 100% complete. The level of 61.8% has broken down at 1307.1 dollars, and the next major retracement level of 78.6% comes out around 1234.3 dollars
On the front of the candlestick there is a strong Bareish Marubboju (Bearish Marubozu) candle at the level of 1323.5 dollars, which clearly shows the pressure of heavy-sell. Trendline has a support of $1293.8 to $1293.8 which has been tested once, while strong resistance remains on $1381.2
Risk Metrics:
THE MARKET’S VOLATILITY MEASURING ATR (ATR) AT THE MOMENT 28.54 I.E. AROUND 2.2%. PRICES RANGE FROM SMA TO 7.68% OF THEIR 20 DAYS, WHICH SUGGESTS THAT THE EXPRESSION HAS BEEN QUITE HIGH. AT THE MOMENT THERE IS NO LARGE DIVERGENCE VISIBLE ON THE CHART, BUT THE VOLUME AROUND 1297 DOLLARS HAS BEEN RECORDED SIGNIFICANTLY HIGHER
Zones:
The scope of $1230 to 1250 for long periods or purchases (long), where the Fibonacci level of 78.6% and old technical support exists. While the pair from 1360 to 1380 will be the best to short, which was the first support and has now become a strong resistance with the supertrend. There is no-trade zone between 1290 to 1320 dollars, as the lower levels have a risk of sharp and unexpected fluctuations
Scenario Playbook:
The biggest risk for selling Sellers is that the sudden surge coming from oversold levels can blow stoploss of late entry-takers. Aggressive Sellers can take entry when a candle close of 5 hours under $1290, while safe traders will wait for a pullback up to $1360. Its stoploss can be placed 1405 dollars (above SMA). The first target of $1234 (resk-reward 2.8), the second target will be $1141 (resk-reward 4.86) and the third target will be $1100 (resk-reward 5.77). This trade is strong enough. Break the stop at Target 1 and trail with 20 SMA on Target 2
This is a risky deal like a fallen pruning for shopping birs as the trend is quite vulnerable. Aggressive buyers can make an entry by looking at the Reversal Candle at $1295, while the conservative buyer wait for a 5 hour candle closing above $1325. The stoploss will be at $1252. The first target will be USD 1360 (resk-reward 1.51), the second target will be of USD 1400 (resk-reward 2.44) and the third 1440 (resk-reward 3.37). The reliance in this setup is low, so keep a close look at the crossover of RSI’s 30s and MCDs
Dashboard:
The head and shoulders pattern has been fully active and the level of 78.6% has now been targeted after 61.8% of the Fibonacci level breakdown. On the charts are constantly becoming bright candlesticks. The best strategy in the current time will be to short on a pullback of 1360 to 1380 dollars as the trend is down but prices have been quite stretched right now. Beware of the Bayer Trap, becoming around 1290 dollars
The findings for London Gas Oil Traders:
The long-term framework in London gas oil is weak and the breakdown of the head end shoulder is visible clean. However, technically prices are in highly oversold zones, so the current should avoid shortings directly at the lower levels. Suggestion will be in the same way that wait for a small bounce or plan a new trade only after the confirmation of the support break