Home Trade Ideas UKOIL – SHORT – 28th Feb 2018

UKOIL – SHORT – 28th Feb 2018

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UKOIL – SHORT –  28th Feb 2018

UKOIL – SHORT – 28th Feb 2018

UKOIL - SHORT - 28/02/2018

Analysis Breakdown

The UKOIL daily chart is showing a reaction to a prior supply zone as indicted by the blue box. The strong bearish rejection in this zone gave us a bias to the short side for the following trading session.

UKOIL - HOURLY - SHORT - 28/02/2018

As always we looked to time our entry short on the lower timeframes. On the hourly chart we can see MACD divergence across the prior highs which indicated a possible fading momentum. We then had a solid break and close below the 50EMA. These confluence factors combined gave us the green light to place our orders.

Result

We entered on a retest of the daily pivot and took our profit at the S1 level for a 1.5 R return.