WTI: Levels, Ranges, Targets

WTI at its 45.84 close is exactly centered from low range points at 41.15 and 42.69 to its upper points at 49.59, 50.76 then comes the next average at 52.54 to travel higher to 53.62, 58.20, 60.28, 64.54 and 66.50.

WTI’ s current price is low, oversold and contains only one direction and that direction is up. Longs must trade to minimum 52.15 and 56.39 on a break at 52.54. Related to the concept I term the Statistical Price Path, a free trade and free money long is located from long at 41.15 and 42.69 to target and exit at 49.59.

Any price below 41.15 is an extra bonus for longs particularly 40.09. A 10 point trade for WTI must view as a fairly substantial move as ranges only allow point movements from 20 to 44 points.

At 44 points places WTI at 89.00 highs but 89.00 highs bumps against perfect shorts at extreme prices at 88.98, 86.01, 84.89 and 82.08. Further averages must break at 70.43, 73.75 and 74.45 to even consider WTI’s 80.00’s extremes. Overall ranges is located from 52.54 to 74.45. Any price above 74.00 won’t travel very far.

Conversely, October’s WTI high at 75 included a free money trade short to 72.68 and 64.54. A break of the downside averages was an extra bonus for shorts. Consider as well WTI dropped from 76.00 highs to 42.00 lows for 34 pips in 2 months. WTI ranges far more than trends and overall trading WTI must be done with perfect accuracy.

 

Brian Twomey