arguments for resistance
1. 61.8% retrace @ $78.25
2. horizontal resistance @ $78.1, $78.75, $79.5
3. trendline resistance @ $80
4. relationship between dollar and commodity getting weaker
5. the rise has been based on low volume
6. eur/usd due to fall further in the coming as it target 1.40, although relationship weak the impact is still there regardless of how weak it is
7. we have had a fake out of the red trend lines = wedge formation ..........a fake out is usually followed by a true break out.
8. Oil moving with equity markets , equity markets looking very frothy and nearing there highs .....hence equity markets down , oil will go with it.
arguments for
1. up trend is till intact with HH's and HL's and no signs of reversal yet.
2. upward sloping trend line is intact
3.0 we are still trading with the wedge of red trend lines
Comments
bullish based on the premise that it has an outside bar but there is still a low of resistance above