U/C and Oil correlation. Retracement coming?
If we get a retracement underway these are the areas to look for S&R targets based on a 4 HR view. The yellow MA is a 21 and the purple MA is a 55. Notice on both charts the 21 ma, the 38.2 fib, stochs, and the roll reversal zones correlate nicely.
Here on the 5 min the 233 ma is the 4 HR 5 ma (Blue). If we get a retracement then price will live below the 5 Min 233 ma, macd will fall below '0', and this should pull the 4 HR stoch down.
I'll put this chart up quick since it has a possible setup right now to watch. The target zone is the Daily 5 (15 Min 233 ma). Just slightly above this target is the July 22nd low or now to be resistance. U/C should move inverse to this but is moving sideways today so far. Let's see what happens and if we retrace today.
When a 4 HR move gets underway this is what it looks like on the 5 Min. Timing into the move could be as simple as trading the fast MA's cross to the downside to get priced in early. The goal is to trade into the macd '0' line cross that confirms the 4 HR move. And if the macd rises above the '0' line its time to reevaluate the trade. I hope you examine the relationship of the 233 & 5 MA's across these time frames. Try to use your favorite indicator in a similar way as well.