WTI: trade idea – FXStreet Signals

Gonçalo Moreira, CMT Independent Analyst

WTI breaking below 36.50 is the first signal to confirm the swing high caused by the U.S election rally. Such a breakdown would pass the ball to the bears towards the next key cluster at 32.00 from where we are inclined to enter long capitalizing on an upward correction to 34.80. This down leg would erode the price of West Texas Intermediate towards the 28.00 level, our target for this trade. The overhead descending line (thin green) could be used to trail a stop loss, initially set at 39.00.
An alternate bearish scenario favors a less steep deterioration with an end target around the 3rd December just above 29.00.

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Author

Gonçalo Moreira, CMT

Independent Analyst

As a trader in the foreign exchange market since 2005, Gonçalo Moreira honed his analytic and strategic skills through the Chartered Market Technician (CMT) designation. 

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