What to do with Oil now ?

15 Oca 2020

It has fallen nearly 12% from its peak of 65.62 on 2 Jan 2020 till the current price of 58.09.

It's tricky to say where the price will go as you can see it is at an inflection of a inner bullish line (dotted green) Candles are much shorter now , signalling heavy selling are almost done and a trend reversal is around the corner.

4 levels of support
1. 56.56 - goes further south to this level and rebound
2. around 54.56 where it touches the lower end of the bullish trend line (green) and rebound
3. 54.17 - last round of support before rebound
4. It rebound straight from here

Watch closely now !

16 Oca 2020

Not

Praise Lord. Option 4 is decided, add long now

16 Oca 2020

Not

marketwatch.com/story/oil-prices-tick-higher-as-traders-weigh-impact-of-china-trade-accord-on-us-crude-production-2020-01-16?mod=home-page

And the story that supports ....

20 Oca 2020

Not

marketwatch.com/story/oil-prices-climb-after-production-halt-in-libya-and-iraq-unrest-fears-2020-01-20?mod=home-page

22 Oca 2020

Not

3:13 pm: Oil falls nearly 3% to end session, hits lowest since early December

U.S. West Texas Intermediate crude fell 2.8% Wednesday to settle at $56.74 per barrel, its lowest settle since Dec. 3. Oversupply concerns pressured prices, along with fears of waning demand if the outbreak of coronavirus isn’t contained and air travel slows. On Thursday the U.S. Energy Information Administration will release its inventory report for the week ending Jan. 17, which was delayed by one day due to the holiday. Analysts polled by S&P Global Platts are expecting it to show a build of 500,000 barrels. Share of Exxon Mobil fell 0.64%. — Stevens
Source : CNBC

Now that Oil has broken down the first support of 56.56, all buying ceased. We now await to see if there is a pull back later week. It is likely going towards the direction of 2 and 3 now. Those not comfortable holding can take partial profits or all, adjust your SL and manage your risk and capital accordingly. Trade safely and GBU.