Good morning, Traders!
Light crude oil futures (CL) are trading beautifully, with a textbook example of a counter trendline break playing out. As the market continues to push through the buy zone, we can expect a +400 tick movement to develop.
For a while, the CL was in a descending trend. But as you’ll see in the timeframe analysis, the market has broken out of that rut and headed to a new high price.
To learn more about how market patterns work, check out this article I wrote that explains it all!
If this massive bullish move continues, we could have ample opportunity to make money with light crude oil futures!
To see how the CL is rallying, let’s jump into the timeframe analysis:
Daily Timeframe Analysis
We’re at a low price in the buy zone, according to our daily timeframe analysis of the CL.
The market has U-turned off support and is heading toward fulfilling the up Fibonacci extension. The CL is making higher highs and higher lows as the bullish rally continues to grow.DAILY TIMEFRAME
The direction within the daily timeframe is up for CL
The short-term direction of the market is up as the CL rallies to a new high price
The CL has U-turned off support and moved into the buy zone
Learn more about the Daily Direction Indicators here…
We’re at a low price in the buy zone, according to our daily timeframe analysis of the CL.
We’ll take this information and turn to the one-hour timeframe to look for opportunities to buy the market. Remember that we use the daily timeframe to find our high and low prices while we use the one-hour to implement our entry strategy!
Before you take a look at the one-hour timeframe chart, be sure to read up on the differences between long-term and short-term timeframes.
One-Hour Timeframe Analysis
The up trendline is clear when you take a look at the one-hour timeframe chart for the CL (bottom grey line).
We can clearly see where the market has repeatedly U-turned off that line and gone into a rally (dark green arrows). There was a massive selloff toward the far right end of the chart that broke the trendline, but it eventually resulted in the current trend we’re seeing.
The market has broken the counter trendline quite nicely (diagonal grey line on the right) and entered the buy zone
The market has broken the counter trendline quite nicely (diagonal grey line on the right) and entered the buy zone. Now we just use the one-hour timeframe to execute our buy-in strategy at low prices within the buy zone!
The Bottom Line
The CL is in an impressive bullish rally now, and there’s plenty of money to be made. But do you know how to do it? Here’s the info you need to jump in and get started with futures.
It would be wise to follow your timeframe charts and keep a lookout for chances to trade the CL. Remember that we buy at low prices within the buy zone and watch as the market continues to rally!
The CL is in an impressive bullish rally now
And as you watch the CL rally push higher and higher, now is the time to get the tools and knowledge you need to become a real futures trader. I’m here to help you realize your money-making potential in futures. Just follow along as I reveal the crucial aspects of my trading strategy that will allow you to become a profitable futures trader!
Keep On Trading,
Mindset Advantage: Breathe
If you’re not breathing, you’re not focused. If you’re not focused, you can’t see the market. Opportunities slide by in an instant. Hazards reveal themselves only when it’s too late.
You need to breathe. Breathing exercises have proven to reduce stress and increase focus.
Sure, you’re already breathing if you read this. But when you trade… you need a breathing regimen. Whatever it is: Through your nose, out your mouth counting to 10 or 100. Find a method and routine that works for you.
You’ll find balance, clarity and focus when you trade. Your heart rate will come down and you’ll just feel better.
Try it. And enjoy your trading.
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