Gold Market Wire
News, analysis and commentary for gold traders and investors
Crude Oil Update
Maintaining Patience in Crude Oil
July 26, 2022 - (Gold Market Wire) - The last time we nudged up against the top of the box (https://www.goldmarketwire.com/articles/brent-in-the-box) we urged caution. That paid off. Now we must do the same, again.
The difference this time is, of course that the channel top has converged with "Box Top". It's getting interesting. Markets are made to frustrate everyone, and drive you towards insanity - so we still can't rule out a move down... which for us would be the "wash-out before the storm". We're going to have to maintain discipline, although the market's desire to move higher is palpable. If both the top of the box and the channel top give way, we may buy - small - on a daily close, and the larger on a weekly, which we note, is also our Monthly close. The market can always head-fake and surprise with an opposite move first, but this market looks like it is going to move higher before long.
The only question now is exactly when to put on length. In anticipation of volatility, one would be well-advised to steer clear of leverage.