The situation in the hourly chart is not really clear. Here we can see two leading trends, the large one and the medium one, both pointing upwards but in different situations. The medium trend came back to the upper limit of its correction zone and is showing signs of a new movement.
With the big trend, the correction is currently hanging in the air, which is highly likely to be detrimental to a trade. Hence my humble opinion: stay on the sideline until clearer signals arise.
Here we can see the correction from the daily chart very clearly, by means of an intact downtrend that arrived at the bottom edge of the correction zone in the fourth correction. The next movement is then the fifth of its kind, which will then make this trend mature.
Nevertheless, according to the principles of Charles Dow, a trend continuation is always more likely than a trend break. Either way, this trend will only break at a closing price above 18450 points. We will see what the labour market data brings and what it will trigger in the market.
After the oil price of the WTI sort fell by almost 10 dollars in the last four weeks, it was able to recover somewhat in the course of this week. The announcement of the inventories also played its part in supporting the price again.
By now it has been able to form a new course high at $42.10, whereby the last correction zone of this still very young upward trend runs between $41.14 and $40.55. If the price comes back into this zone, an interesting entry chance to participate in a larger recovery will become available.
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