The previous two reversal dates (November 11 and November 23) have triggered major turns in the January Crude oil. After posting a low on the November 23rd reversal date, Crude rallied over $10.00 and traded beyond the prior swing high of $89.10 posted on the November 11th reversal date. It just so happens that the new high close ($89.38) was reached on another projected reversal date…December 6th.
December 7, 2010–the “trail'” day started with Crude oil trading up to $90.76, but the market lost momentum and quickly turned lower. It is important to remember that in my book “Unlocking Wealth, Secret to Market Timing” I talk about how the “trail” day can be a very strong directional indicator and a confirmation of the reversal. Therefore, a lower close today could confirm a significant reversal in the Crude and trigger a new sell signal. You can get updated information on this trade signal or others in the TMV Swing Trading Report.
