Upside Bias For Crude Oil
FNArena has added another video to its Investors Education section on the website. In this latest video, ATW's Jerry Simmons explains why he is keeping a close watch on crude oil futures. In simple terms, were WTI futures to break above US$109/bbl a new upswing will have commenced. If, however, US$102/bbl is breached to the downside this will mark a new downward trend.
On current market analysis, Simmons believes a positive bias remains warranted. As long as price action remains above 106.50 he believes traders should continue to expect higher prices. There is support from an asymmetrical head-and-shoulders building on price charts.
Having said all of the above, crude oil has now experienced three doji weeks in succession, showing the current state of hesitation in the market. This observation is supported by the fact that copper has gone through its tenth week of consolidation (also three successive doji weeks). In addition, there have been dojis in all kinds of financial markets, including US equities and Apple shares in particular.
To view the ATW Strategic Prep Video click HERE or visit the FNArena Investors Education section of the website.
Here's the direct link: http://www.fnarena.com/index2.cfm?type=dsp_front_videos&vid=77
All views expressed are Jerry Simmons's, not FNArena's (see our disclaimer).
Jerry Simmons has over 25 years of full-time trading experience. He is the senior partner and head mentor for the "Masters" Programme within the education system at New York based Advanced Trading Workshop (ATW).