now it is starting to be priced in, but it sure wasn`t at 80.00 (august cl.) still asia reacts to closing hour, more selling.....we break 78 tonight...have to find where support is on this thing for overnight pushdown.
I'll be following the EURO going into the night as that seems to be tail wagging the crude dog today. EURO broke a minor daily uptrend support with todays action and looks like it is targeting fib 38.2@ 12250, so that should add more downward pressure on the crude going into Europe tomorrow. Plus with the already mentioned upcoming reports, crude probably going down. I agree with bluestreek's analysis for tomorrow. shorting crude here @ 78.30 with target sub 7700 area and shorting EURO @ 12330 to lead us lower.
the interesting variable is tomorrow last day of trading for july cl, how does that play...my thought is bearish...who wants to take delivery at cushing with such large inventories at cushing.......but i am not currently short....closed out...am flat...i generally just trade around setups not necesarily directional bias....but like to have some underlying pressure poits to be aware of to help avoid the many cl traps like today...i am sure longs were trapped at some point by pervious price action, and by the time they realized the headwinds that cl faces tomorrow at 80.00 it was too late.
i think crude slowly zig zags its way back up to 85 in the second half of the year.....but i don`t position trade....so figuring out all the nice wiggles is what makes my day
Of course, I ain't talking about a "price discovery" when I say that the market moving events are already factored into the price. Far from it. Market is NEVER efficient. However, the market usually moves far faster than the news networks are able to report the reason behind the move. Thus, before you are able to know the fundamentals, price has already left the station as it were. And you would be a fool to chase the runaway train after learning about the fact. But if you play only the technicals, there's a very good chance of catching the move without even bothering to know the fundamentals.
the next level of support i see is around the 77 area if we get some pressure. Then 75.75 area for next level of support depending upon what forex, equities do the rest of the week. One would think it would take a series of bad news to due much damage past there.
you still trading the QM? I am thinking of trading it and scaling up to the CL...how is it going for you trading the QM?