The Monthly<\/em> crude oil chart<\/h3>\n\n\n\n![\"Crude](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/05\/Crude-Oil-Monthly-LH-MTR-Wedge-Bear-Flag-Start-of-Bear-Leg-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- The April monthly Crude Oil candlestick was a bear doji with a long tail above.<\/li>\n\n\n\n
- Last <\/a>m<\/a>onth<\/a>, we said that the odds slightly favor the market to trade at least a little higher. Traders will see if the bulls can continue creating follow-through buying\u00a0breaking\u00a0above the bear trendline to retest the September high.<\/li>\n\n\n\n
- The market traded higher in the first half of the month but reversed to trade sideways to down from mid-month onward.<\/li>\n\n\n\n
- Previously, the bears got a reversal from a double top bear flag (Nov 7 and\u00a0Sept 28) and a lower high\u00a0major\u00a0trend reversal (Sept 28) but were not able to create follow-through selling below the 20-month EMA (Dec 13).<\/li>\n\n\n\n
- They want April to reverse back below the 20-month EMA and form a second leg sideways\u00a0to down\u00a0to retest the December low from a lower high\u00a0major\u00a0trend reversal (Apr 12).<\/li>\n\n\n\n
- They want the bear trend line to act as resistance. So\u00a0far\u00a0this is the case.\u00a0<\/li>\n\n\n\n
- The next target for the bears is the 20-month EMA.<\/li>\n\n\n\n
- The bulls see the pullback (Sept to Dec) simply as a deep pullback and hope to get a retest of the September high.<\/li>\n\n\n\n
- They got a reversal from a higher low\u00a0major\u00a0trend reversal (December) and a double bottom bull flag (May 4\u00a0and\u00a0Dec 13).<\/li>\n\n\n\n
- While the market traded higher in April, the bulls\u00a0were not able to\u00a0get a\u00a0strong\u00a0breakout above the bear trend line. The bull leg formed a lower high.<\/li>\n\n\n\n
- The bulls hope that the current sideways-to-down move is simply a pullback and want at least a small second leg sideways to up to retest the\u00a0April 12\u00a0high.<\/li>\n\n\n\n
- They want the 20-month EMA to act as support.<\/li>\n\n\n\n
- Since April was a bear doji bar closing near its low, it is a sell signal bar for May.<\/li>\n\n\n\n
- Odds slightly favor the market to trade at least a little lower, which it has done.<\/li>\n\n\n\n
- Traders will see if the bears can create a follow-through bear bar closing below the 20-month EMA.<\/li>\n\n\n\n
- If May\u2019s candlestick is a big bear bar closing near its low and below the 20-month EMA, the\u00a0odds of a retest of the December low will increase.<\/li>\n\n\n\n
- The market is in\u00a0a large\u00a0trading range (Trading range high:\u00a0 \u00a0 \u00a0\u00a0September 29, Trading range low:\u00a0May 4).<\/li>\n\n\n\n
- Traders will BLSH (Buy Low, Sell High) until there is a breakout from either direction with sustained follow-through buying\/selling.<\/li>\n\n\n\n
- The 20-month EMA is around the middle of the\u00a0large\u00a0trading range. It can be a magnet and an area of balance.<\/li>\n<\/ul>\n\n\n\n
The Weekly<\/em> crude oil chart<\/h3>\n\n\n\n![\"Crude](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/05\/Crude-Oil-Weekly-Close-below-20-Week-EMA-680x383.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n\n- This week\u2019s candlestick on the\u00a0weekly Crude Oil chart<\/a>\u00a0was a big bear bar closing near its low.<\/li>\n\n\n\n
- Last week<\/a>, we said\u00a0that traders\u00a0will see if the bulls can get a follow-through bull bar. The market is trading near the upper third of the trading range, which is the sell zone of the trading range traders.<\/li>\n\n\n\n
- This week traded lower and closed below the 20-week EMA. The bulls were not able to get a follow-through bull bar.<\/li>\n\n\n\n
- The bears see the bull leg as forming a wedge bear flag (Dec 26,\u00a0Jan 29,\u00a0Apr 12). They also see an embedded wedge in the third leg up (Jan 3,\u00a0Mar 19, and\u00a0Apr 12).<\/li>\n\n\n\n
- They see last week\u00a0simply\u00a0as a pullback and want at least a small second leg sideways to down. They want a failed breakout above the bull channel. They got what they wanted.<\/li>\n\n\n\n
- They\u00a0will need to\u00a0create consecutive bear bars closing near their lows and trading below the 20-week EMA to convince traders that they are back in control.<\/li>\n\n\n\n
- Since this week closed below the 20-week EMA, the bears need to create a follow-through bear bar to increase the odds of the bear leg beginning.<\/li>\n\n\n\n
- The bulls got a weak bull leg with overlapping candlesticks trading above the 20-week EMA\u00a0testing\u00a0the upper third of the\u00a0large\u00a0trading range.<\/li>\n\n\n\n
- They want a retest of the\u00a0September 28\u00a0high after the current pullback.<\/li>\n\n\n\n
- If the market trades lower, the bulls want the 20-week EMA or the bull trend line to act as support.<\/li>\n\n\n\n
- They want at least a small second leg sideways to up to retest the April 12 high\u00a0even\u00a0if it forms a lower high.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bear bar closing near its low, it is a sell signal bar for next week.<\/li>\n\n\n\n
- However, the market\u00a0is trading\u00a0at a potential support area (the 20-week EMA and the bull trend line).<\/li>\n\n\n\n
- Traders will see if the bears can get a strong breakout below the bear trend line and a follow-through bear bar closing below the 20-week EMA.<\/li>\n\n\n\n
- The market was trading near the upper third of the trading range, which is the sell zone of the trading range traders.<\/li>\n\n\n\n
- Traders will see if sellers appear around this area aggressively and\u00a0if\u00a0not, higher up in the trading range near the September high. So far, we can see increased selling pressure.<\/li>\n\n\n\n
- The bear leg could be underway if the bears can create a strong breakout and sustained follow-through selling.<\/li>\n\n\n\n
- The market is in\u00a0a large\u00a0trading range (Trading range high:\u00a0September 29, Trading range low:\u00a0May 4).<\/li>\n\n\n\n
- Traders will BLSH (Buy Low, Sell High) until there is a breakout from either direction with sustained follow-through buying\/selling.<\/li>\n\n\n\n
- Poor follow-through and reversals are hallmarks of a trading range.<\/li>\n<\/ul>\n\n\n\n
\n\n\n\nMarket analysis reports archive<\/h3>\n\n\n\n
![\"Crude](\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/05\/Crude-Oil-Monthly-LH-MTR-Wedge-Bear-Flag-Start-of-Bear-Leg.jpg\" "\\"\\"")
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n
- \n
- The April monthly Crude Oil candlestick was a bear doji with a long tail above.<\/li>\n\n\n\n
- Last <\/a>m<\/a>onth<\/a>, we said that the odds slightly favor the market to trade at least a little higher. Traders will see if the bulls can continue creating follow-through buying\u00a0breaking\u00a0above the bear trendline to retest the September high.<\/li>\n\n\n\n
- The market traded higher in the first half of the month but reversed to trade sideways to down from mid-month onward.<\/li>\n\n\n\n
- Previously, the bears got a reversal from a double top bear flag (Nov 7 and\u00a0Sept 28) and a lower high\u00a0major\u00a0trend reversal (Sept 28) but were not able to create follow-through selling below the 20-month EMA (Dec 13).<\/li>\n\n\n\n
- They want April to reverse back below the 20-month EMA and form a second leg sideways\u00a0to down\u00a0to retest the December low from a lower high\u00a0major\u00a0trend reversal (Apr 12).<\/li>\n\n\n\n
- They want the bear trend line to act as resistance. So\u00a0far\u00a0this is the case.\u00a0<\/li>\n\n\n\n
- The next target for the bears is the 20-month EMA.<\/li>\n\n\n\n
- The bulls see the pullback (Sept to Dec) simply as a deep pullback and hope to get a retest of the September high.<\/li>\n\n\n\n
- They got a reversal from a higher low\u00a0major\u00a0trend reversal (December) and a double bottom bull flag (May 4\u00a0and\u00a0Dec 13).<\/li>\n\n\n\n
- While the market traded higher in April, the bulls\u00a0were not able to\u00a0get a\u00a0strong\u00a0breakout above the bear trend line. The bull leg formed a lower high.<\/li>\n\n\n\n
- The bulls hope that the current sideways-to-down move is simply a pullback and want at least a small second leg sideways to up to retest the\u00a0April 12\u00a0high.<\/li>\n\n\n\n
- They want the 20-month EMA to act as support.<\/li>\n\n\n\n
- Since April was a bear doji bar closing near its low, it is a sell signal bar for May.<\/li>\n\n\n\n
- Odds slightly favor the market to trade at least a little lower, which it has done.<\/li>\n\n\n\n
- Traders will see if the bears can create a follow-through bear bar closing below the 20-month EMA.<\/li>\n\n\n\n
- If May\u2019s candlestick is a big bear bar closing near its low and below the 20-month EMA, the\u00a0odds of a retest of the December low will increase.<\/li>\n\n\n\n
- The market is in\u00a0a large\u00a0trading range (Trading range high:\u00a0 \u00a0 \u00a0\u00a0September 29, Trading range low:\u00a0May 4).<\/li>\n\n\n\n
- Traders will BLSH (Buy Low, Sell High) until there is a breakout from either direction with sustained follow-through buying\/selling.<\/li>\n\n\n\n
- The 20-month EMA is around the middle of the\u00a0large\u00a0trading range. It can be a magnet and an area of balance.<\/li>\n<\/ul>\n\n\n\n
The Weekly<\/em> crude oil chart<\/h3>\n\n\n\n
<\/a><\/figure>\n\n\n\n<\/div>\n\n\n\n- \n
- This week\u2019s candlestick on the\u00a0weekly Crude Oil chart<\/a>\u00a0was a big bear bar closing near its low.<\/li>\n\n\n\n
- Last week<\/a>, we said\u00a0that traders\u00a0will see if the bulls can get a follow-through bull bar. The market is trading near the upper third of the trading range, which is the sell zone of the trading range traders.<\/li>\n\n\n\n
- This week traded lower and closed below the 20-week EMA. The bulls were not able to get a follow-through bull bar.<\/li>\n\n\n\n
- The bears see the bull leg as forming a wedge bear flag (Dec 26,\u00a0Jan 29,\u00a0Apr 12). They also see an embedded wedge in the third leg up (Jan 3,\u00a0Mar 19, and\u00a0Apr 12).<\/li>\n\n\n\n
- They see last week\u00a0simply\u00a0as a pullback and want at least a small second leg sideways to down. They want a failed breakout above the bull channel. They got what they wanted.<\/li>\n\n\n\n
- They\u00a0will need to\u00a0create consecutive bear bars closing near their lows and trading below the 20-week EMA to convince traders that they are back in control.<\/li>\n\n\n\n
- Since this week closed below the 20-week EMA, the bears need to create a follow-through bear bar to increase the odds of the bear leg beginning.<\/li>\n\n\n\n
- The bulls got a weak bull leg with overlapping candlesticks trading above the 20-week EMA\u00a0testing\u00a0the upper third of the\u00a0large\u00a0trading range.<\/li>\n\n\n\n
- They want a retest of the\u00a0September 28\u00a0high after the current pullback.<\/li>\n\n\n\n
- If the market trades lower, the bulls want the 20-week EMA or the bull trend line to act as support.<\/li>\n\n\n\n
- They want at least a small second leg sideways to up to retest the April 12 high\u00a0even\u00a0if it forms a lower high.<\/li>\n\n\n\n
- Since this week\u2019s candlestick is a bear bar closing near its low, it is a sell signal bar for next week.<\/li>\n\n\n\n
- However, the market\u00a0is trading\u00a0at a potential support area (the 20-week EMA and the bull trend line).<\/li>\n\n\n\n
- Traders will see if the bears can get a strong breakout below the bear trend line and a follow-through bear bar closing below the 20-week EMA.<\/li>\n\n\n\n
- The market was trading near the upper third of the trading range, which is the sell zone of the trading range traders.<\/li>\n\n\n\n
- Traders will see if sellers appear around this area aggressively and\u00a0if\u00a0not, higher up in the trading range near the September high. So far, we can see increased selling pressure.<\/li>\n\n\n\n
- The bear leg could be underway if the bears can create a strong breakout and sustained follow-through selling.<\/li>\n\n\n\n
- The market is in\u00a0a large\u00a0trading range (Trading range high:\u00a0September 29, Trading range low:\u00a0May 4).<\/li>\n\n\n\n
- Traders will BLSH (Buy Low, Sell High) until there is a breakout from either direction with sustained follow-through buying\/selling.<\/li>\n\n\n\n
- Poor follow-through and reversals are hallmarks of a trading range.<\/li>\n<\/ul>\n\n\n\n
\n\n\n\nMarket analysis reports archive<\/h3>\n\n\n\n
- Last week<\/a>, we said\u00a0that traders\u00a0will see if the bulls can get a follow-through bull bar. The market is trading near the upper third of the trading range, which is the sell zone of the trading range traders.<\/li>\n\n\n\n