I am wondering today if that move (marked by the arrow) is the deepest retrace that we will see for WTI for now.
50% is a pretty common retrace, I would have expected 61.8% like the last move but that could mean Oil is trying to set some higher lows while consolidating under $71.
Ideas: look to see if $71 is broken convincingly this week. The storms in the US and new inventory data could be the catalyst for this. Though bulls case has been tempered since the storms were not as bad as predicted, there could still be some shock inventory news on Wednesday.
If prices retest $71 and momentum looks to stall, I would look to sell a retrace once again targeting these same levels.
50% is a pretty common retrace, I would have expected 61.8% like the last move but that could mean Oil is trying to set some higher lows while consolidating under $71.
Ideas: look to see if $71 is broken convincingly this week. The storms in the US and new inventory data could be the catalyst for this. Though bulls case has been tempered since the storms were not as bad as predicted, there could still be some shock inventory news on Wednesday.
If prices retest $71 and momentum looks to stall, I would look to sell a retrace once again targeting these same levels.