Introduction
It’s time again to look at the overall picture of CL futures and where we see it heading. The price is still hovering inside the support zone at $68, a level that has been tested and held since the start of 2023. Now, it looks like bulls could be targeting a move back up to $80.
Potential Trade Setups
Short-Term (Intraday to a Few Days)
- Bullish Scenario:
- If the price breaks above the R1 resistance at $70.89 with strong volume, it could signal a move towards R2 ($73.13) and possibly R3 ($75.94). Given the bullish crossover in the MACD on the daily chart, this move has a high probability if momentum continues.
- Entry: Above $71.00 (confirmation of R1 breakout)
- Stop-Loss: Below $69.50 (just below recent lows and the pivot point)
- Take Profit: First target at $73.00 (near R2), second target at $75.50 (near R3)
- Bearish Scenario:
- If the price fails to break above R1 and shows a rejection candle pattern (e.g., a shooting star or bearish engulfing) around $70.89, we could see a move back down towards the pivot point at $68.08.
- Entry: Below $70.50 (after confirmation of resistance rejection)
- Stop-Loss: Above $71.50 (above recent highs)
- Take Profit: First target at $68.50, second target at $67.00
Medium-Term (Several Days to Weeks)
Conclusion
- Short-Term: Bullish above $71.00 with targets at $73.00 and $75.50.
- Medium-Term: Bearish bias unless price can close above $75.00.
- Long-Term: Still bearish unless the price breaks above the descending trendline (around $80).
Remem
