What Happens in Oil Trading after a Continuation Oil Trading Chart Pattern?

A continuation crude oil chart pattern is a market signal that shows the current oil trend is taking a pause before resuming the current direction of the market oil.

If the oil trend is upwards a continuation crude oil chart pattern signals that the crude oil market is taking a break before resuming the current upwards trend. The continuation pattern in a oil upward oil trend is known as a rising wedge which signals that the crude oil price is consolidation but keeps moving higher and higher forming a crude oil chart pattern that resembles a rising wedge. Oil Traders should wait for a confirmation of this crude oil chart pattern before opening a trade based on this bullish continuation crude oil pattern. Once there is a oil price breakout to the upside then the continuation crude oil pattern is confirmed and oil prices will then continue to move in direction of the current upward crude oil trend.

If the oil trend is downwards a continuation crude oil chart pattern signals that the crude oil market is taking a break before resuming the current downwards trend. The continuation pattern in a oil downward oil trend is known as a falling wedge which signals that the crude oil price is consolidation but keeps moving lower & lower forming a crude oil chart pattern that resembles a falling wedge. Oil Traders should wait for a confirmation of this crude oil pattern before opening a trade based on this bearish continuation crude oil pattern. Once there is a oil price breakout to the downside then the continuation crude oil pattern is confirmed and oil prices will then continue to move in direction of the current downwards crude oil trend.