Crude oil has slumped on lack of world demand. If this slump is a continuation of the down trend and confirming cycle action then up swings are to be sold.

Let price fall further, watch for a weak bounce then review your trade options. Price falling from upper resistance is not a confirmation of a well supported demand story for higher prices, it is a story that the shorts have built up a position to take prices down.

Below is a chart showing off readtheticker.com Bartels cycle tools. Bartels is used to find the dominant cycle in a time series.

Investing Quote...

"Money is made in tape reading [chart reading] by anticipating what is coming -- not by waiting till it happens and going with the crowd." ~ Richard D Wyckoff

"The minute you get away from the fundamentals - whether it's proper technique, work ethic, or mental preparation - the bottom can fall out of your game." ~ Basketball Legend Michael Jordan.

"To me, the 'tape' is the final arbiter of any investment decision. I have a cardinal rule: Never fight the tape!" ~ Martin Zweig

"Earnings don't move the overall market; it's the Federal Reserve Board... focus on the central banks and focus on the movement of liquidity... most people in the market are looking for earnings and conventional measures. It's liquidity that moves markets." ~ Stan Druckenmiller

"I buy on the assumption they could close the market the next day and not reopen it for five years" and "Much success can be attributed to inactivity. Most investors cannot resist the temptation to constantly buy and sell." ~ Warren Buffet