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Symmetrical Triangle on Daily Chart of WTI Crude Oil

December 16, 2018 at 18:44 by Vladimir Vyun

A symmetrical triangle pattern has formed on the daily chart of West Texas Intermediate crude oil. Such pattern occurs when prices consolidate, often after a period of moving in one direction. Usually, it suggests that the market took a breather before prices will continue to move in the same direction.

On the present chart, the yellow lines show the symmetrical triangle pattern itself. As crude was falling before the current period of sideways movement, the chart provides suggestions for a downside breakout scenario. The cyan line is drawn below the pattern, offset by 10% of the triangle’s width, and offers an entry position for bears. The green line is situated below the pattern by the triangle’s width and provides the profit target for short positions.

You can click on the image to see a full-size version:

The chart was built using the ChannelPattern script. You can download a MetaTrader 4 chart template for this crude oil pattern. You can also trade it using the free Chart Pattern Helper EA.

Update 2018-12-18: Sell position entered yesterday at 16:30 GMT with entry at 50.39, stop-loss at 53.03, and take-profit at 46.30. The downtrend wave in WTI seems to be stable so far:

Crude Oil - Symmetrical Triangle Pattern on Daily Chart as of 2018-12-18 - Post-Entry Screenshot

Update 2018-12-19: Take-profit has been reached yesterday at 19:51 GMT, just in time before a minor correction in oil price:

Crude Oil - Symmetrical Triangle Pattern on Daily Chart as of 2018-12-19 - Post-Exit Screenshot

If you have any questions or comments regarding this symmetrical triangle pattern on the chart of crude oil, please feel free to submit them via the form below.

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