Crude Oil Morning Prep Day Trading Strategy; Screen to Floor 07/17/13

PIT Session Levels

Crude Oil Inventory Levels

Martys Nat Gas Chart

Today's Economic News

Crude Oil 60-Minute:

Crude Oil 60-Minute

Crude Oil is trading in a price-wedge this morning on the hourly anchor chart, telling us exactly what our day trading plan will look like today.  We know there is support at the lows around 105.19 and resistance at the highs at 106.74.  We are rising off the support so we are buying pullbacks at this time, but will not buy near the middle of the range

This is just a snapshot of our Morning-newsletter which is posted every trading day at 8:00am EST in our Members Section.

Crude Oil 5-Minute:

Crude oil 5-Minute

We can see a very narrow trading range coming out of the London trading Session overnight, which suggests the markets are waiting for something later in the session before they start to find their trend on the day.  We are trading at the lows of the price-wedge on the 60-minute, and we can see price-action trading at the highs of the London trading Session.

One of the most important clues on this chart is the PLOD at 105.74.  If we get above this price level this morning the sellers will have failed to move prices lower and we will see price-action rise higher this morning in an attempt to test the PHOD at 107.18.  We should expect to see rising prices this morning if we get above the price reversal-zone at 105.80.  If we cannot get above the price reversal-zone above us we will expect this price-action to trade sideways, so look for selling-opportunities below the price reversal-zone at 105.65 with a profit-target back at the lows of the range around 105.20.

PRZ-Trade today:

Short @ 105.80

Long @ 104.96

PRZ-Trade Management:

Profit-target @ 40ticks

Stop-loss @ -16ticks