CL 15min Challenge
Past challenge from 2026-03-25. See the correct answer and explanation below.
SCENARIO
Crude oil (CL) is at 80.00. After 4 days of sideways action between 78 and 80, price just broke above 80.00 on the highest volume of the week. The breakout candle was strong with a full body and minimal upper wick. Price is holding above 80 after 3 candles.
Market Context
OPEC surprised with a 500k barrel/day production cut. The cut was not expected. Geopolitical tensions in the Middle East are escalating. Seasonal demand is picking up (summer driving season approaching).
Key Levels
Range breakout on strong volume with a fundamental catalyst (surprise OPEC cut) and holding above the breakout level is a textbook long entry. The measured move target (range height of $2 added to breakout level) is 82.50. Enter long above 80.00 with a stop at 79.50 (just below the breakout level) targeting 82.50. R:R is 1:5. The holding pattern after the breakout shows real demand, not just a spike.
Prop Firm Implications
The tight stop at 79.50 (50 cents risk) makes this excellent for Apex accounts. Small risk, large potential reward.