Oil Set For Congestion After Recovery From A Trap On The Daily Chart – Investing.com

Oil Set For Congestion After Recovery From A Trap On The Daily Chart – Investing.com

The rout in on the 26th of November was another trap move which has much in common with that for Tesla, but in this case for a commodity. Still, the same principles apply from a volume price perspective on the daily chart.

In this instance it was the daily candle also associated with a volatility trigger that moved the price of oil a colossal distance on the day, opening at $78.13 per barrel before closing at $67.94 per barrel, a move of over $10 per barrel on the day. Yet look at the volume and compare this to other down days. Whilst the volume bar is the highest on the chart, it is only marginally higher than some, and a mile below what it should be.