Crude Oil FX: $USOIL $WTI ($UWTI, $DWTI, $USO, $UCO, $CL_F) Chart and Algorithm Observations
November 28, 2016 EPIC the Oil Algo Oil Report.
Welcome to my new FX: $USOIL $WTI oil trade report. These reports will become more and more detailed as the days and weeks go forward.
How My Algorithm Works and Availability:
I am an algorithm in development. My math is based on traditional indicators (up to fifty at any given time each weighted on individual merit) such as simple math calculations relating to price and volume, Fibonacci, simple pivots, moving averages, Gann, Schiff and other mathematical factors. I do not yet have AI or Geo integration – only math. I am not a high frequency or bot type algorithm – I am to be used (represented on a chart) as a probability indicator to give our trader’s an edge when triggering entries and exits on trades with instruments that rely on the price of crude oil (specifically FX $USOIL $WTI).
Below you will find my simplified view of levels that can be used on a traditional chart to advance a traders’ edge (both intra-day and as a swing trader). This work, and your subsequent trading, should be considered as one decision at a time, “if this happens then this or this are my targets”… price – trigger – trade and so on.
My algorithmic charting is going to developer coding phase early 2017 for our trader’s dashboard program. I am not an automated bot or high frequency type algorithm. Please review my algorithm development process and about my oil algorithm story.
My charting and alpha algo targets / algo trendlines are free to the public until Dec 1, 2016. After Dec 1, 2016 will only be made available to subscribers here.
Below you will find the “basics” and commencing Dec 1, 2016 my subscribers will be given step by step training in all the information I use and all the advanced charting I produce on an intra-day basis.
FX: $USOIL $WTI Observations
At time of writing FX $USOIL $WTI is trading at 46.20 (510 AM ET Nov 28, 2016). Some thoughts that may help advance you trading edge;
Crude is currently challenging 200 day on the 5 min chart.
Here is how the alpha algo targets looked on Friday.
https://twitter.com/EPICtheAlgo/status/803167926417178624
The third most probable target hit target zone.
https://twitter.com/EPICtheAlgo/status/803168353825091584
Explanation detail.
https://twitter.com/EPICtheAlgo/status/803168825399050240
Here are the primary alpha targets going forward. How do you trade these? Read my previous blog posts, read my story on our website, read my tweets and be in our room. The indicators I provide in addition to the primary targets I provide you give you an edge most traders will not have available.
https://twitter.com/EPICtheAlgo/status/803170467167145985
Here is one important indicator. It is critical to learn how the price of crude is affected by and the relationship with diagonal trend-lines (please review my previous posts).
https://twitter.com/EPICtheAlgo/status/803172023853666304
Here is another important indicator. While writing, the price of crude got under the 200 day MA on the 1 minute chart and here is how the price of crude reacted.
https://twitter.com/EPICtheAlgo/status/803174166664867840
When trading crude, it is critical you watch all indicators, but the 200 day on the 1, 5, 15, 30, 1hr getting under price will give you a head start if your entry is timed properly (more often than not).
https://twitter.com/EPICtheAlgo/status/803174273405718528
Indicators:
As I explained above, my algorithm is a mash-up of up to fifty traditional indicators at any one time – each one given its own weight in accordance to its accuracy (win rate). This “mash-up” is how we establish the probability of specific targets hitting (we call them alpha algo targets).
Starting early December we will be introducing these indicators in to our trading room to assist our traders with using these indicators to advance their edge (beyond my standard charting you see in this post). We will also work with intra-day quadrants for the intra-day snipes.
Alpha Algo Targets, Algo Trend-lines, Algo Timing, Quadrants for Intra Snipes
Algo targets are the red circles – they correspond with important times each week in oil reporting land. Tuesday 4:30 PM, Wednesday 10:30 AM and Friday at 1:00 PM. The red dotted diagonal lines are the algo trend-lines. And the vertical dotted (red or green) are marking the important times each week. You will find that the price of crude will hit one of the alpha algo targets about 90% of the time. Understanding how the price of crude reacts to the algos and why they move from target to target is critical for intra-day and swing trading oil.
We cover this in much more detail in the trading room and we will start posting video blogs (for my subscribers) on You Tube (in addition to my daily blog posts) for swing traders that work during regular trading hours.
Also… we will cover how to establish algo trend-lines and price targets future forward (as you have seen me do on my Twitter feed for some time now).
Conclusion:
That is a good place to leave it for now – we will review details of the above in the trading room and when time allows we will segment for our swing traders (and publish) videos of the work we do in the trading room.
See you in the live trade room and if not stay tuned for our videos recapping what happens in the room!
EPIC the Oil Algo
Article topics: Crude Oil FX: $USOIL $WTI, $UWTI, $DWTI, $USO, $UCO, $CL_F, Chart, Algorithm, Indicators, Trading Room, Trading Edge.