Tuesday, June 2, 2020

Crude Oil WTI CLN20 Heading Towards Gap

The CLN20 contract (Continues Back-adjusted) heading towards the open gab once the market broke out of the micro bracket which is visible on the daily perspective. Looking at the hourly periodicity we can observe three areas which market could pullback towards to find potential support. The previous micro bracket's high, the mean of the prior balance area and it's lower extreme. For now we can wait for either a bearish pattern to conclude the pullback scenario or simply waiting for a bullish pattern to continue the trend towards the open gap which should be revsited and filled soon.

E-mini S&P 500 Trending Higher Towards Bracket High (SPX - Plain Analysis)

Yesterday the ES June contract (ESM0) closed as an inside day without testing the high or low of Friday's price range. As the market dips into the high highs we can conclude a possible inside day failure pattern. For this we should look out for absorption patterns on the lower timeframes such as the hourly periodicity. A conclusion would be a pullback to the previous balnaced price range followed by support again. However the market heading towards the next level of possible resistance which would be the prior bracket high. Let's see how the market will evolve around the highs for now.