WTI crude: Trend line breach confirmed with doji and gap down candle; fails to form harami

Our recent target achieved at below US$55 a barrel!! Aftermaths of long lasting Greece turmoil, lingering dollar strength and the dramas of crude inventory levels in Western Texas Intermediate oil mines have managed to trigger the price points what our research calls on crude had generated a week ago on 01^st July.

On EOD chart as soon as trend line support breached there was gravestone doji formation at 56.93 soon after the break followed by gap down with a long bearish real body candle resembling "harami" pattern occurred at around 52.53, it has failed because next candle has not attempted gap up opening. Hence, we could still sense further weakness in the prices and trend being downtrend.

So dear readers we repeat don't ever dare to buck the trend. Unless & until the trade discipline is adopted in the portfolio, neither a strategy nor any fund managers in this world rescue from potential risks.

Our recent targets are achieved at below US$55 a barrel!! Aftermaths of long lasting Greece turmoil and lingering dollar strength and the dramas of crude inventory levels in WTI have managed to trigger the price points what our research calls on crude had generated a week ago.

On weekly chart, flurry of bearish candle patterns occurred to break the trend line support at 56.93 levels and then evidenced gap down pattern. This massive tumble has been signified by leading oscillators like RSI and slow stochastic as the bearish convergence formed with steep dips in prices but narrowed volumes as shown in the diagram. So, we sense with the help of EOD charts a losing streak of prices may halt for a while, during this phase speculators may still extract returns on sideline trades. We discuss such trade arrangements in our upcoming posts.