Browse Symbol Stacks: /CL: Oil_BearWedgeBreak_MonthlyProjection_Jan032015.jpg
My PRIMARY view on /cl direction.
Yes, we'll nearly revisit the lows from early 2009, if the technical analysis of the bear wedge break on the monthly /cl (continuous) chart holds.
A "safer" down target is the 1.618 fib projection of that bear wedge break at $50.30 (and if we get there, psychological factor of $50.00 will kick in on both sides of the trade)
Note how the acceleration down began on the monthly /cl chart in July 2014, at the same time as the acceleration UP began on the /dx (chart- http://tos.mx/ncOWvt)
One key factor between /dx & /cl is that /dx broke above its wedge-line resistance on the monthly chart one month AHEAD of /cl breaking down out of its wedge support (Sept. 2014 for /dx vs. Oct. 2014 for /cl). This indicates that if the Yen cycle holds for 2015, oil's bottom should occur about one-month after the dollar does.
No comments yet.