Platinum Analysts Predict the OIL CHAOS Trade
Good Morning Traders,
As our regular subscribers know we focus predominantly on Digital Currency Trading, however, has received a plethora of calls and emails following our Dollar Index blog last week, I thought I would share with you another very pertinent opportunity on Oil.
I have been Trading the Markets for the last 15 years and I call trades as I see them. As a Financial Trader, it is about looking for true Trading opportunities that will make you money and not just based on Technical Charts, but a really focused in-depth look at the Fundamentals.
The Digital Currency Era is Upon Us
The Digital Currency Era has already taken the markets by surprise with a market cap of over $160 Billion and when we told clients about Bitcoin, some were sceptical and emailed us back with comments such as “Crazy”. Guess what?! Bitcoin smashed through $5000 and now this could be the new base and well done to those clients that had belief in us.
Please take time to check our article out here and also feel free to download our eBook.
If you are new or even advanced to trading, let me give you the perfect way to plot your trade.
“DO NOT TRADE EVERYTHING THAT MOVES”
The Platinum Trade = Perfect Fundamental+ Perfect Technical+ Perfect Logic
(If the above does not apply to the trade, then there is no point at all in taking the trade)
“THE MORE YOU SIT ON YOUR SEAT THE MORE CHANCES YOU WILL LOSE”
Top 5 Reasons for Oil to drop to 25$.
- The Electrical Vehicle revolution has taken the world by storm and believe it or not 70 percent of the world’s Oil is used for transportation.
- Alternative Energy Markets have really gone head-to-head with the Oil giants in the last 3 years and are gathering steam.
- The 2nd half of 2017 has seen the Oil Markets become a static demand, and just cannot gather any pace. The outlook for 2018 also looks really weak as the International Energy Agency (IEA) said the global outlook for Oil Markets in 2018 could put a dampener on hopes for higher prices.
- Bear Traders have been in control of the markets since 2014 due to weak demand when the price of Oil collapsed from $120 a barrel and since then every single peak in Oil price has just been sold into as simple as that and believe me Opec has not helped one bit in this process. Platinum Analysts believe that this is the “End of the Oil Era” and in the next 5-8 Years Oil could be below and stay below 20$.
- Platinum Analysts work with a lot of clients from the Oil and Gas Sector and trust me, they talk to us and tell us of the consistency of living on the edge due to low demand in Oil, this October the number of rigs for Oil and Gas in the North Sea, which includes the shallow waters of the United Kingdom; Norway; Denmark; Germany and the Netherlands, plunged to an all-time low. On top of those losses, companies operating from Norway to the Netherlands have also announced staff cuts.
Platinum Technical Analysis:
- Understand which Major Trading Pattern applies
- Identify the critical Supply and Demand levels, not support and resistance
- Confirm if you have Fibonacci Confluence
- Identify your Entry
- Have a justified Stop Loss to protect your losses
- Understand your Risk and Reward.
So now let’s apply all the above to our Oil trade
OIL TECHNICAL CHART:
WEEKLY VIEW OIL: Crude Oil Trading Strategy
Since we know that the fundamentals of Oil are telling us this market has no other direction than down, turning to the technical chart, we clearly see Oil is approaching a Supply Price we should be looking to sell from. We have had 2 phases of Accumulation/Distribution before in Oil and this approach to the $54.00 could be ideal for us to short this market with a considerably small stop with a huge risk/reward in our favour.
We have also outlined the various major supply and demand areas on the chart which you should place alerts on.
How to trade OIL:
A) Short Oil @ 54.00 or the nearest zone with 120 points stop loss and a target of 26.00
If you have any questions on the trade set ups, please contact the Platinum Team and we will be happy to assist you.
If you would like to know why this would be the case, get in touch with the Platinum Team today, and we will be happy to help and explain the trade.
HOW TO BECOME A PROFITABLE TRADER.
If you are a new trader and would like to learn how to trade, then sign up today to our 2-day free Foundation to Forex Trading Course. We have just introduced this as in the last month we have had a lot of inquiries on learning how to trade the financial markets. We can get you on the successful path of becoming a Financial Trader.
Hopefully, you have enjoyed today’s article and have gained great knowledge about trading and how to trade.
The Platinum Formula:
Perfect Fundamentals + Perfect Technical Analysis + Perfect Logic + Perfect Risk Management = Perfect Trade
THE PLATINUM WAY
At Platinum, we teach all individuals from different walks of life to become a full-time trader or create a secondary revenue stream by trading part-time. We trade in an Institutional Way by letting the market come to us and being patient. Using Platinum’s Trading system you can take many Pips out of the market. We can ensure using this style of trading your trading will make a turnaround as you will become much more consistent.
If you want to trade like the professionals do, making consistently profitable returns from your trading, get in touch with us and we will demonstrate live exactly how we approach the markets.
Download our free ebook to read about the various Trading Patterns that work in the Financial Market. Watch Trades of the Week Videos in our video gallery. Subscribe to Platinum’s Forex Newsletter.
Hopefully, you have enjoyed today’s article. Thanks for reading!
Have a fantastic day!
Steven Ardent
Live from the Platinum Trading Floor.