Cycle Trading: Oil Slips Lower
|Oil formed a daily swing high on Thursday.
Thursday was day 33 for the daily oil cycle, placing oil in its timing band for a daily cycle decline. So Thursday’s swing high has good odds of developing into the daily cycle decline. Oil currently sits on support from the top of the recent trading box and the accelerated trend line. A close below this level should send oil to seek out its daily cycle low. Oil should break below the daily cycle (blue) trend line in oder to complete its daily cycle decline. The peak on day 31 locks in a right translated daily cycle formation which has us expecting a higher low to form. Which aligns with oil being in a daily uptrend. If a swing low forms above the lower daily cycle band then oil will remain in its daily uptrend and trigger a cycle band buy signal.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.