By FXEmpire.com
The Light Sweet Crude markets fell for much of the day on Monday, only to bounce back and form a hammer for the daily candle. This is a supportive turn of events, and the fact that this market has sold off so harshly; it doesn’t surprise us that this bounce happened. However, we still fell the bearish case is the one that will prevail, and as a result we aren’t buying on this signal. In fact, we see it as a chance to sell the bounces for larger gains.
The oil markets will have to break the $90 level for us to consider buying, and a close below the $80 level has us aggressively selling as it would show a complete collapse of support. On rallies, we sell weak candles, especially around the $85 and $90 levels.
Click here a current Crude Oil Chart.
Originally posted here
