Crude Oil was in a state of balance from 20/ 11 with a lower range at 4800 approx.
On thursday last it broke through and trended down in a 120 point move.
Thereafter it auctioned in the lower region of a previous HVN from 8th November profile ( purple line).
The setup today is interesting as a break of this new found value can force a move to retest old business at 4800 levels.
What helps this belief is that value of 6th dec did not migrate lower that day, so the new shorts do not have much conviction and can be forced to cover.
The trade setup would be a long above 4720 for 4740 and then a move above 4744- 53 region towards the volume zone of 4797.
We will see how this plays out.