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WTI Price Analysis: Bears lining-up for the 'Kill Zone'

  • WTI is finally making its way into the kill zone.
  • Bears are getting set, but there are a few more steps in the price action that we want to see. 

The price of which has been tracked in a series of analysis, as follows:

has played out perfectly in accordance with the price action predictions and overall bearish outlook, give or take the bullish opportunities within the broader bearish forecast. 

The following charts continue with the bearish analysis, identifying where the trade opportunity is, (aka, The Kill Zone), starting with the monthly charts as follows:

Monthly chart (i)

The monthly charts are offering a signal that the upside move has completed.

The wick on the current candle, with 2 days and 22 hours until the close, will be filled on to the downside in weeks to come.

 At least a 38.2% Fibonacci retracement is to be expected.

(ii)

Weekly chart

As can be seen, the weekly chart is the correction within the monthly pin-bar (wick) and is expected to fill in the wick.

The price has already completed a 61.8% Fibonacci retracement. 

Daily chart

The daily chart is a little more complex.

The price is being resisted, which is what we want to see at this juncture. 

A break of support and a continuation to the final support structure is what we are monitoring for next before an extension to the monthly target.

4-hour chart

The four-hour chart's forecasted price action should look something like the above. 

A higher probability setup will come on a restest of the current support structure that should hold as resistance - aka, The Kill Zone. 

“It is better to be prepared for an opportunity and not have one than to have an opportunity and not be prepared,”

– Whitney M. Young Jr.

Author

Ross J Burland

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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