10.09-10.13 USOIL weekly outlook

7 Okt 2023

Hello traders,

USOIL made a strong leg down to SUPPORT 1 in my long vacation. What a strong bearish trend on both charts in this idea.

Now what is the next plan for next week?

Let's go through it step by step.

First of all, let's review it on 4H chart. This new bearish trend start from 94.99, almost 95 on the last trading day of Sep. There was sign for that. RSI divergence and bearish signals on 4H candlesticks pattern first appear in the Asia morning on 28th Sep when Tokyo session began to pull price down. Price kept running beneath EMAS on 4h chart and speed up in next week Tuesday LONDON session. Pulling back to test EMAS again on Wed and be rejected again in NEWYORK session. These whole price actions made a five-waves swing.
Now price is slowing down by reaching Support 1 but it is not a signal to buy for reverse.

Price could down to new low before making a strong reversal signal. Price could make a corrective wave back to Fibo382-618(RESISTANCE 1-2) on 4H chart.

Take a look at the Weekly chart on the right. it is a strong bearish candlestick just finish. This is not a good signal for buyers yet. On weekly chart, price almost hit FIbo 500 which is also a position for correction. So now we have to check more details on 4H chart to see if this is a position for correction or price would make a lower position for correction.

All are possible! Check more update next week on USOIL.

GOOD LUCK!!
LESS IS MORE!