{"id":179844,"date":"2023-06-04T01:30:00","date_gmt":"2023-06-04T08:30:00","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=179844"},"modified":"2023-06-03T23:52:22","modified_gmt":"2023-06-04T06:52:22","slug":"crude-oil-weak-second-leg","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/pt-br\/analysis\/crude-oil-weak-second-leg\/","title":{"rendered":"Crude Oil Weak Second Leg Retest of May Low"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Market Overview: Crude Oil Futures<\/h2>\n\n\n\n<p>The&nbsp;<strong>Crude oil<\/strong>&nbsp;futures formed a weak second leg retest of May low on the weekly chart. The market traded lower but reversed higher to close above the middle of the weekly candlestick with a long tail below. The bears hope to get follow-through selling next week and a retest of the May low. The bulls want a reversal from a double bottom (Mar 20 and May 4) and a higher low major trend reversal (May 31).&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Crude oil futures<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Monthly<\/em> crude oil chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range.png\"><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"383\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range-680x383.png\" alt=\"Crude Oil Monthly: May Bear Bar, Trending Trading Range\" class=\"wp-image-180017\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range-680x383.png 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range-300x169.png 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range-768x432.png 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range-1536x864.png 1536w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Monthly-May-Bear-Bar-Trending-Trading-Range.png 1920w\" sizes=\"auto, (max-width: 680px) 100vw, 680px\" \/><\/a><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The May monthly Crude Oil candlestick was a big bear bar closing in the lower half with a prominent tail below.<\/li>\n\n\n\n<li>Last month, we said that the market is in a tight trading range and traders will BLSH (Buy Low, Sell High) in trading ranges until there is a strong breakout from either direction with follow-through buying\/selling.<\/li>\n\n\n\n<li>May broke below the tight trading range and retested the March low but reversed to close above it.<\/li>\n\n\n\n<li>The bears hope that April formed another lower high. They got a reversal down from a double-top bear flag (Dec and April).<\/li>\n\n\n\n<li>While June is currently trading higher, they hope that it is simply a pullback and want another retest and breakout attempt below the March low.<\/li>\n\n\n\n<li>The bulls want a reversal up from a wedge bottom (Dec 9, Mar 20 and May 4) and a double bottom (Mar 20 and May 4).<\/li>\n\n\n\n<li>They hope that the strong selloff in May is simply a sell vacuum retest of the March low and want a reversal up from a lower low major trend reversal.<\/li>\n\n\n\n<li>However, they have not yet been able to create credible buying pressure (strong bull bars) still.<\/li>\n\n\n\n<li>The bulls will need to create strong bull bars with follow-through buying, trading far above the trading range high (Dec), the bear trend line and the 20-month exponential moving average to convince traders that a reversal up could be underway.<\/li>\n\n\n\n<li>The market has been forming a trending trading range.<\/li>\n\n\n\n<li>The candlesticks are overlapping sideways therefore the market remains in a trading range.<\/li>\n\n\n\n<li>Traders will BLSH (Buy Low, Sell High) in trading ranges until there is a strong breakout from either direction with follow-through buying\/selling.<\/li>\n\n\n\n<li>Reversals and poor follow-through are common within a trading range.<\/li>\n\n\n\n<li>For now, odds slightly favor the trading range to continue.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Weekly<\/em> crude oil chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR.png\"><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"383\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR-680x383.png\" alt=\"Crude Oil Weekly: Weak Second Leg retest Low, HL MTR?\" class=\"wp-image-180020\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR-680x383.png 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR-300x169.png 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR-768x432.png 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR-1536x864.png 1536w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR.png 1920w\" sizes=\"auto, (max-width: 680px) 100vw, 680px\" \/><\/a><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>This week\u2019s candlestick on the&nbsp;<a href=\"https:\/\/www.investing.com\/commodities\/crude-oil-streaming-chart\" target=\"_blank\" rel=\"noreferrer noopener\">weekly Crude Oil chart<\/a>&nbsp;was a bear doji with a long tail below.<\/li>\n\n\n\n<li>Last week, we said that traders will see if the bulls can create another follow-through bull bar testing the 20-week exponential moving average or will the bears be able to create a retest of the May 4 low.<\/li>\n\n\n\n<li>This week attempted a retest of the May low but did not get close before reversing up to close in the upper half of the week\u2019s range.<\/li>\n\n\n\n<li>The prior move down was in a 6-bar bear microchannel. That means strong bears.<\/li>\n\n\n\n<li>The first pullback (bounce) from such a strong bear micro channel often is minor. That was the case this week.<\/li>\n\n\n\n<li>The bears got another leg down testing the May 4 low, but it fell short and the week reversed to close above the middle of the range. The bears are not as strong as they hope to be.<\/li>\n\n\n\n<li>They hope to get follow-through selling next week and a retest of May low.<\/li>\n\n\n\n<li>The bulls want a reversal from a double bottom (Mar 20 and May 4) and a higher low major trend reversal (May 31).&nbsp;<\/li>\n\n\n\n<li>They hope that the strong selloff from April 12 is simply a sell vacuum test of the trading range low and that this week was simply a weak second-leg retest of the low.<\/li>\n\n\n\n<li>They will need to create consecutive bull bars breaking far above the 20-week exponential moving average and the bear trend line to increase the odds of higher prices.<\/li>\n\n\n\n<li>Buy Vacuum and Sell Vacuum within a trading range can make the range extremes test appear very strong, but the breakout is more likely to fail.<\/li>\n\n\n\n<li>The market is in a 28-week trading range. Traders will BLSH (Buy Low, Sell High) in trading ranges until there is a strong breakout from either direction with follow-through buying\/selling.<\/li>\n\n\n\n<li>Poor follow-through and reversals are common within a trading range.<\/li>\n\n\n\n<li>Since this week close in the upper half of the week\u2019s range, it is a buy signal bar for next week, albeit slightly weaker.<\/li>\n\n\n\n<li>The bulls need to create follow-through buying next week to increase the odds of the bull leg within the trading range beginning.<\/li>\n\n\n\n<li>If the bulls get a decent follow-through bull bar, the odds of a retest of the trading range high (April high) will increase.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<h3 class=\"wp-block-heading\">Market analysis reports archive<\/h3>\n\n\n\n<p>You can access all weekend reports on the <a rel=\"noreferrer noopener\" class=\"rank-math-link\" href=\"https:\/\/www.brookstradingcourse.com\/blog\/analysis\/\" target=\"_blank\">Market Analysis<\/a> page.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n","protected":false},"excerpt":{"rendered":"<p>Market Overview: Crude Oil Futures The&nbsp;Crude oil&nbsp;futures formed a weak second leg retest of May low on the weekly chart. The market traded lower but reversed higher to close above the middle of the weekly candlestick with a long tail below. The bears hope to get follow-through selling next week and a retest of the [&hellip;]<\/p>\n","protected":false},"author":2836,"featured_media":180020,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"shadow","_genesis_layout":"","footnotes":""},"categories":[1892,136],"tags":[325,1877],"class_list":{"0":"post-179844","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-crude-oil","8":"category-analysis","9":"tag-crude-oil-futures","10":"tag-second-leg","11":"entry","12":"override","13":"shadow"},"featured_image_src":"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/06\/Crude-Oil-Weekly-Retest-Low-HL-MTR.png","author_info":{"display_name":"Andrew","author_link":"https:\/\/www.brookstradingcourse.com\/pt-br\/author\/andrewa\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts\/179844","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/users\/2836"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/comments?post=179844"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts\/179844\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/media\/180020"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/media?parent=179844"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/categories?post=179844"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/tags?post=179844"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}