Crude Oil Chart for Tuesday Morning (USO)
You can see how the up trend from 97.70 had held.. despite the small push below as cash opened and we had the typical sell off in CL.. CL now back to 100.69. this tells me we go up to 103’s and test the green line.. this ONLY IF he grey dotted line is breached to the upside.. Mid line of pattern. previous chart after jump.
|15 min CL|
Almost every trading day this year has been met with the same price action and or patterns of correlation breakdown. Today Euro and ES are playing nice.. Crude still as you can seen up way over 1 percent is off on it’s own… over shooting to the upside and downside.
So for the last two weeks CL has been trading within a broadening/consolidation under resistance pattern. The lower support which by trend allows for lower lows in price but no new higher highs when using the beginning of the pattern as a benchmark. The mid line of the pattern, which was tested this morning, is 101. It held firm and the price fell to 100 as cash equity index’s open.
30 min before the open is your last chance to take off overnight trades before correlations start falling off and the chop begins.