As usual I bolted out my position a tad early last week. I kicked out my plan of nursing Brent shortsdown through my 111 target and didn’t even wait to see how the levels at 104/105 behaved in WTI.
However, we should never complain about banking a profit and instead focus on the next trade.
Long Brent is my next play and I’m trading against the support here at 108.30/45. We also have the weekly 200 moving average here at 107.96
Brent daily chart 09 07 2014
Even by Brent standards that’s a very sizable move up and back from 115 so there may be an element of oversold conditions here warranting a bounce.
There’s not much else in the way until the Nov 2013 support line so I’m keeping my stop fairly tight and just below the 200 wma. I’ll be looking to take profit around 110.50 if we get a test of the Feb 2012 resistance line.
