Crude oil: Mathematical analysis with Murray lines for December 24, 2013
December 24, 2013 6:30 am
Weekly chart
Crude Oil started the week with a slight drop from 99.18 to 98.63 after posting timid economic performance by the United States fully inverting all quiet due to the upcoming Christmas holiday. Thus the term CL finding support on its second monthly resistance which incidentally is very close to its weekly pivot located at 98.25, which provides an interesting opportunity to buy because chances are that prices will continue to rise in the next few days though little activity is expected.
Daily chart
However, the daily chart suggests caution. After the fall during the session on Monday, Crude Oil seems to be paying what could be a U-turn as prices ended below its daily pivot in this case located at 98.88 and is finding support on its first day support. Moreover, if we consider the top line of its downtrend channel has acted as a resistance line converging with the same line 8/8 Murrey which is very close to the peak reached last so the other possibility is also prices experience a significant drop until at least 96.88.
4-hour chart
The 4-hour chart seems even a little more clarify for the picture because on one hand the price fell from line 6/8 Murrey and entered below the level of 5/8 (green line) as we know it comes to be the top line of its trading range in which the price returns to a sale area, although it should be confirmed only when transferred line 4/8 (blue line) which becomes the neutral line on which we believe CL find temporary support and then define its trend in the medium term. Because of this suggestion, our hope is that prices drop more to enter long positions above 98.30 with a stop quite adjusted only about 30 pips.
If you have any questions or suggestions, please contact me right through: Email: [email protected]
DISCLAIMER No information published constitutes a solicitation, offer, or recommendation, to buy or sell any investment instrument, to effect any transactions, or to conclude any legal act, whatever its nature. The information published and opinions expressed are provided on an only for information only and is subject to change without notice, delimiting the company responsibility for decisions originating from the same, and they cause any kind of profit, loss or damage.
The material has been provided by InstaForex Company – www.instaforex.com
Weekly chart
Crude Oil started the week with a slight drop from 99.18 to 98.63 after posting timid economic performance by the United States fully inverting all quiet due to the upcoming Christmas holiday. Thus the term CL finding support on its second monthly resistance which incidentally is very close to its weekly pivot located at 98.25, which provides an interesting opportunity to buy because chances are that prices will continue to rise in the next few days though little activity is expected.
Daily chart
However, the daily chart suggests caution. After the fall during the session on Monday, Crude Oil seems to be paying what could be a U-turn as prices ended below its daily pivot in this case located at 98.88 and is finding support on its first day support. Moreover, if we consider the top line of its downtrend channel has acted as a resistance line converging with the same line 8/8 Murrey which is very close to the peak reached last so the other possibility is also prices experience a significant drop until at least 96.88.
4-hour chart
The 4-hour chart seems even a little more clarify for the picture because on one hand the price fell from line 6/8 Murrey and entered below the level of 5/8 (green line) as we know it comes to be the top line of its trading range in which the price returns to a sale area, although it should be confirmed only when transferred line 4/8 (blue line) which becomes the neutral line on which we believe CL find temporary support and then define its trend in the medium term. Because of this suggestion, our hope is that prices drop more to enter long positions above 98.30 with a stop quite adjusted only about 30 pips.
If you have any questions or suggestions, please contact me right through:
Email: [email protected]
DISCLAIMER
No information published constitutes a solicitation, offer, or recommendation, to buy or sell any investment instrument, to effect any transactions, or to conclude any legal act, whatever its nature.
The information published and opinions expressed are provided on an only for information only and is subject to change without notice, delimiting the company responsibility for decisions originating from the same, and they cause any kind of profit, loss or damage.
The material has been provided by InstaForex Company – www.instaforex.com
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