"No warning can save people determined to grow suddently rich" - Lord Overstone

  • 22 hours OPEC ‘Supergroup’ Keeps Oil Exports Subdued
  • 23 hours One Belt, One Road, One Direction for Precious Metals
  • 1 day Vicious Trio Keeps Bitcoin in Chokehold
  • 1 day How Infrastructure Is Driving A Commodity Boom
  • 1 day What’s Really Happening With Venezuela’s “El Petro?”
  • 1 day Gold Bull and Bear Markets
  • 2 days 5 Big Drivers of Higher Inflation Rates Ahead
  • 2 days U.S. And China To Face Off Over Aramco IPO
  • 2 days Gold Bulls, Brace Yourselves – Fed Hikes Are Coming!
  • 2 days Stocks Fail to Hold Gains, But Still No Correction
  • 2 days Cryptojacking: A New Threat Vector To Critical Infrastructure
  • 3 days Why The Next Oil Boom Will Be Fueled By Blockchain
  • 3 days 5 Things Investors Should Know About China this New Year
  • 3 days Is The South Korean Crypto-Drama Finally Over?
  • 3 days Miners’ Rally? What Rally? Watch Out for More Fake Moves!
  • 3 days Four Percent 10-year Note Yield Will Be a Floor Not a Ceiling
  • 3 days The End Is Near
  • 4 days 5 Record Breaking Gemstones Even Billionaires Can’t Buy
  • 4 days Irredeemable Currency De-tooths Savers
  • 4 days CFTC Offers Bounty For Crypto Pump And Dump Whistleblowers
Irredeemable Currency De-tooths Savers

Irredeemable Currency De-tooths Savers

An irredeemable currency system traps…

U.S. Dollar Bull and Bear Markets

U.S. Dollar Bull and Bear Markets

The idea of endlessly repeated…

Crude Oil: Update

It has been over 3 months since I identified the potential for a "very strong move" in crude oil. Absurdly low interest rates and geopolitical unrest are the likely culprits, and the last time I looked, these issues remain with us. In addition, the technicals, which we will review in this article, remain very constructive.

Figure 1 is a monthly chart of West Texas Crude, cash data. Prices remain within a well described up channel. $120 seems like a reasonable price target. In terms of sell signals (i.e., the presence of multiple negative divergence bars), I don't see any on the horizon.

Figure 1. WTI/ monthly
WTI Monthly

Figure 2 is a weekly chart of the United States Oil Fund (symbol: USO). Three weeks ago, prices "broke out" from a fairly substantial base. In the last two weeks, prices have pulled back to several times to re-test that support level or "breakout" point. I would expect USO to hold above $42.

Figure 2. USO/ weekly
USO Weekly


Back to homepage

Leave a comment

Leave a comment

Don't Miss A Single Story