Oil bounced strongly last week, but it is nearing a price gap that presents formidable resistance. It is also in the lower half of its price channel.Likewise, the commodity index is approaching its price gap and seems very likely to resume its weakness.The energy fund XLE has broken its major supporting trendlines and seems to have already finished its small counter-trend rally.The XOP tends to move more dramatically than XLE, and it has broken a multi-year trendline, suggesting much lower prices in the weeks and months ahead.
