The Weekly<\/em> crude oil chart<\/h3>\n\n\n\n![\"Crude](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/03\/Crude-Oil-Weekly-Failed-BO-Wedge-and-Embedded-Wedge-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- This week\u2019s candlestick on the weekly Crude Oil chart<\/a> was an outside bull bar closing near its high.<\/li>\n\n\n\n
- Last week<\/a>, we said that the odds slightly favor a breakout below the ioi (inside-outside-inside) first. The first breakout can fail 50% of the time. Traders will see if the bears can create a follow-through bear bar.<\/li>\n\n\n\n
- This week broke below the inside bear bar but reversed to break above the inside bar after that.<\/li>\n\n\n\n
- The bears see the recent sideways to up pullback as forming a wedge bear flag (Dec 26, Jan 29, Mar 14). They also see an embedded wedge forming in the third leg up (Feb 14, Mar 3, and Mar 14).<\/li>\n\n\n\n
- They want another leg down to retest the prior leg low (Dec 13).<\/li>\n\n\n\n
- They will need to create sustained follow-through selling closing below the 20-week EMA. So far, they have not yet been able to do so.<\/li>\n\n\n\n
- The bulls see the selloff to the December 13 low simply as a bear leg within a trading range.<\/li>\n\n\n\n
- They got a reversal from a higher low major trend reversal (Dec 13), a wedge bull flag (Oct 6, Nov 16, and Dec 13) and a small double bottom bull flag (Jan 13 and Feb 5).<\/li>\n\n\n\n
- They will need to create sustained follow-through buying above the 20-day EMA and the January high to increase the odds of the bull leg beginning.<\/li>\n\n\n\n
- If the market trades lower, they want a reversal from a higher low major trend reversal.<\/li>\n\n\n\n
- So far, the market has been trading above the 20-week EMA, albeit not very strong (overlapping candlesticks with alternating bull and bear bars). <\/li>\n\n\n\n
- It is in a tight trading range with a slight tilt up (therefore a bull channel and a bear flag).<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bull bar closing near its high, it is a buy signal bar for next week.<\/li>\n\n\n\n
- The inability of the bears to create meaningful follow-through selling is slowly swinging the odds in favor of more sideways to up movements.<\/li>\n\n\n\n
- If the bulls can create a follow-through bull bar, it will increase the odds of the bull leg beginning.<\/li>\n\n\n\n
- Poor follow-through and reversals are the hallmarks of a tight trading range.<\/li>\n\n\n\n
- Side note: Some news events over the weekend about the Ukraine-Russia conflict (possibly affecting oil output) can cause prices to be volatile.<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> crude oil chart<\/h3>\n\n\n\n![\"Crude](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/03\/Crude-Oil-Daily-Wedge-Bear-Flag-Embedded-Wedge-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n
![\"Crude](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/03\/Crude-Oil-Weekly-Failed-BO-Wedge-and-Embedded-Wedge.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n
- \n
- This week\u2019s candlestick on the weekly Crude Oil chart<\/a> was an outside bull bar closing near its high.<\/li>\n\n\n\n
- Last week<\/a>, we said that the odds slightly favor a breakout below the ioi (inside-outside-inside) first. The first breakout can fail 50% of the time. Traders will see if the bears can create a follow-through bear bar.<\/li>\n\n\n\n
- This week broke below the inside bear bar but reversed to break above the inside bar after that.<\/li>\n\n\n\n
- The bears see the recent sideways to up pullback as forming a wedge bear flag (Dec 26, Jan 29, Mar 14). They also see an embedded wedge forming in the third leg up (Feb 14, Mar 3, and Mar 14).<\/li>\n\n\n\n
- They want another leg down to retest the prior leg low (Dec 13).<\/li>\n\n\n\n
- They will need to create sustained follow-through selling closing below the 20-week EMA. So far, they have not yet been able to do so.<\/li>\n\n\n\n
- The bulls see the selloff to the December 13 low simply as a bear leg within a trading range.<\/li>\n\n\n\n
- They got a reversal from a higher low major trend reversal (Dec 13), a wedge bull flag (Oct 6, Nov 16, and Dec 13) and a small double bottom bull flag (Jan 13 and Feb 5).<\/li>\n\n\n\n
- They will need to create sustained follow-through buying above the 20-day EMA and the January high to increase the odds of the bull leg beginning.<\/li>\n\n\n\n
- If the market trades lower, they want a reversal from a higher low major trend reversal.<\/li>\n\n\n\n
- So far, the market has been trading above the 20-week EMA, albeit not very strong (overlapping candlesticks with alternating bull and bear bars). <\/li>\n\n\n\n
- It is in a tight trading range with a slight tilt up (therefore a bull channel and a bear flag).<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bull bar closing near its high, it is a buy signal bar for next week.<\/li>\n\n\n\n
- The inability of the bears to create meaningful follow-through selling is slowly swinging the odds in favor of more sideways to up movements.<\/li>\n\n\n\n
- If the bulls can create a follow-through bull bar, it will increase the odds of the bull leg beginning.<\/li>\n\n\n\n
- Poor follow-through and reversals are the hallmarks of a tight trading range.<\/li>\n\n\n\n
- Side note: Some news events over the weekend about the Ukraine-Russia conflict (possibly affecting oil output) can cause prices to be volatile.<\/li>\n<\/ul>\n\n\n\n
The Daily<\/em> crude oil chart<\/h3>\n\n\n\n
<\/a><\/figure>\n\n\n\n - Last week<\/a>, we said that the odds slightly favor a breakout below the ioi (inside-outside-inside) first. The first breakout can fail 50% of the time. Traders will see if the bears can create a follow-through bear bar.<\/li>\n\n\n\n