Intraday Market Analysis: Crude Oil and GBPUSD Ahead of Thursday

[indeed-social-media sm_list=’fb,tw,goo,li,xg’ sm_template=’ism_template_3′ sm_list_align=’horizontal’ sm_display_counts=’false’ sm_display_full_name=’true’ sm_disable_mobile=1 ]

Crude Oil Intraday Strategy

Crude oil suffered from heavy losses in the recent sessions. We have been monitoring the selling and noted the market is aligned for corrective gains as positive divergence was noted in the Relative Strength Index (RSI).

Crude oil 4hr Chart

Please click on the chart to enlarge:

Crude oil 4hr Chart 03/08/15

Crude oil 4hr Chart 03/08/15

In order to perfect the entry and avoid unnecessary drawdown we are combing the hourly chart with the 4hr chart. A hourly close above 45.60 is required in order to affirm the corrective gains, which will in turn kick into play the positive divergence on the 4hr chart. The 100% objective of the bullish correction is 49.55. A more conservative target would be 47.90. The intraday strategy is relevant as long as crude oil does not break below the support line (in purple) if an hourly breakout is not noted before. The protective stop upon an hourly close may be placed below 45.60.

GBPUSD Intraday Strategy

On Thursday the Bank of England (BOE) will release its monetary policy along with the minutes and the inflation report for the first time. The impact on GBP is therefore likely to be greater than usual.

GBPUSD 4hr Chart

Please click on the chart to enlarge:

GBPUSD 4hr Chart 3 August 2015

GBPUSD 4hr Chart 3 August 2015

The technical analysis is also aligned with the weekly and daily chart. 1.5678 is the key technical level for breakout strategies and we are certain it is being observed by many technical traders. A firm break above 1.5678, possibly as a result of the BOE minutes as more MPC members are anticipated to vote in favor for a rate hike.

Deep buying strategy bears a greater risk but it is technically supported on the 4hr chart without the aid of the daily and weekly chart. The recent dip lower may be capitalized on by dip-buying traders, layering their stop below 1.5530, which is the latter intraday support level. A breakout strategy is deemed as a more conservative approach.

10/08/15 UPDATE: With a slight delay we are now providing the current chart of crude oil and GBPUSD. Updates via emails were sent to traders that are subscribed to our intraday strategies plan.

Crude oil 4hr Chart

Please click on the chart to enlarge:

Crude oil 4hr chart 10/08/15

Crude oil 4hr chart 10/08/15

Crude oil provided limited gains off the support level and upon breaking above 45.60 as we stated in the analysis. Nevertheless, on an intraday level crude oil did produce a fair profit.

GBPUSD 4hr Chart

Please click on the chart to enlarge:

GBPUSD 4hr chart 11/08/15

GBPUSD 4hr chart 11/08/15

Although a break above 1.5678 was not seen the dip-buying approach was successful. As you may note, 1.5530 acted as a strong support level as we have anticipated that lead to a moderate, bullish correction in GBPUSD.

When Crude oil and  GBPUSD strategies were published they were only made available to traders that have signed up for our spot intraday strategies plan.



To view current and future intraday strategies sign up to our intraday plan. See details.

More Intraday Strategies

Global Trade Alerts Performance