Technical Outlook & Trading Strategy:-
The price action of Crude oil since 26th Aug, 2011 levels has been taking shape of a bearish head & shoulders price pattern on its intraday charts.
The formation of this price pattern is a bearish sign and further weakness from current levels could bring about a sharp correction in the prices of crude oil.
The momentum indicators are trading in sell mode and still showing signs of weakness despite the recent pullback from the lows of Rs 3853 levels.
We recommend day / positional traders to take short positions between Rs 4050--Rs 4005 levels with a stop loss placed above Rs 4101 levels for downside targets of Rs 3940 / Rs 3890 levels.
No comments:
Post a Comment