High Selling Volume Into Support Triggers 170 Tick IntraDay Crude Oil Rally
Hey folks, Anthony Speciale here with Hawkeye Traders. I hope you’re doing well.
Today, I want to dive into a real-life example of trading light sweet crude oil.
As you know, this market is my passion, and I believe using real-time trades adds a layer of credibility that’s often missing elsewhere.
The Morning Setup
Recently, we had an intriguing setup on the five-minute chart. A key moment occurred at 8:05 AM when we observed high selling volume without follow-through.
This high selling volume was met with strong support at the $81.20 level, leading to an immediate rebound.
This reaction solidified my confidence in declaring $81.20 as a support level in our live trading session, predicting a potential rally from this point.
Analyzing the Market Movement
Here’s a breakdown of the market movement:
- Initial Signal: At $81.20, we saw high selling volume into support with no follow-through. This indicated strong buying interest and the potential for a rally.
- Double Top Formation: After setting a low and a higher low, the market formed a double top.
- Break and Retest: The market broke through the double top and retested the support level on high selling volume, which failed to push the price lower.
This scenario exemplified the critical relationship between volume and price action.
From $81.20, the market rallied roughly 170 ticks, all thanks to accurately interpreting these signals in real-time.
Understanding Volume and Price Action
The key takeaway here is the importance of understanding the relationship between volume and price action.
Many traders might see a high selling volume as a signal to avoid going long, but in this case, it indicated that sellers were being absorbed by buyers, leading to a strong upward movement.
If you find this analysis intriguing and believe you could benefit from a deeper understanding of these concepts, I invite you to join me in a training webinar.
In this session, we’ll dive deeper into these strategies, helping you develop the skills to interpret volume and price action accurately.
Join Our Training Webinar
In the webinar, we’ll cover:
- How to use volume-based indicators effectively.
- The relationship between volume and price action.
- Real-time examples to solidify your understanding.
We’ll also provide you with access to the Hawkeye Volume Mastery series, enabling you to study these concepts at your own pace and implement them in your trading strategy.
Trading successfully requires more than just indicators and software; it demands a solid understanding of market dynamics.
By focusing on volume and price action, you can develop the skills to make informed trading decisions.
I urge you to remove the clutter from your charts and concentrate on what truly matters.
I look forward to helping you master these essential trading skills.
Thank you for being a part of our community. I am confident that with the right tools and knowledge, you can achieve greater success in your trading endeavors.
God bless, and I will see you in the next video!
Happy Trading,
Anthony Speciale
Hawkeye Traders
Big Energy Profits
