Oil – inflection points for Feb. 2, 2017

Yesterday’s trades

CLH7 Feb, 1, 2017. 60-minute bars.

A simple, straightforward trade for oil traders yesterday.

The price fell in overnight trading and provided a clear and easily filled entry at Nat’s Keyline in the pre-market.

It subsequently moved back up to her Sell level in the day session.

The move was worth about $900 per contract for traders who got it all.

Mid-week update

Oil is consolidating. A defined trading range from $54 to $52 has been formed in the past five days. The price has been holding above the $51.75 breakout point quite well.

As long as $52.20 level holds up, the next battle is to fight through the overhead resistance at the $54.15 line.

A break above overhead resistance could push the price up to the next target around $55.50-56.50. A failure to break out could leave Oil chopping back and forth inside the trading range until one side surrenders.

Today’s workbook

Download link: (170202daily-trading-worksheet-Oil.pdf, 147KB)