Today we discuss Crude again as it reached our downside target of 57.70.
We went short at 65.70 and as mentioned last week, expected to reach the target.
Yesterday we took profit and went long again at 57.85.
As you can see on today’s chart the uptrend is still intact and we can see another bounce.
First short-term upside target is 60.55 and the suggested sell stop is at break-even.
We like to explain how you can best utilize the signals given by GMTT.
In example Crude: When it gets close to the given downside target i.e. 57.70 then you look if the downside holds.
If it does, you flip the trade in this case from short, to a long position.
You take profit on the short position and buy Crude at the market with a sell stop just below the given downside target.
When it does not hold you get closed out with a small loss, and then wait till the next downside target and then try it again.
Especially when an important level is reached and the expectation is a bounce of, the current low, then you only want to focus on being long.
In the current case with Crude, we gave a downside target of 57.70.
The overall outlook and the trend are still bullish.
When there is a good close below 57.00 this outlook will change.
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