Crude Oil Geometry ($USO)

the oil complex is in the midst of a deflationary thump BUT do believe it’s coming into a zone of support.

posted for Andy @seeitmarket and so far the $OSX and Loonie have held.

why 50-51 for a bounce in crude:

  • 3 ratio’s – .786 retrace, 1.618 and 1.27 extensions
  • NOTE the TIME of the oil crash from the all time high is equal to the time from the June high in Crude.
  • NOTE back in 2007 oil BOUNCE after it had traveled a distance shown by the blue arrow.  it rallied 20 dollars/barrel and that same move down in price is right at your ratio’s.  Additionally, that “balance point” in price represented the next move into the lows.

so … watch the 50-51 as we approach this crucial level.  (note: 48 and then 42 are other targets)







Author: BART

BART is a CMT and an expert a "advanced" pattern recognition used w/in the intermarket analysis discipline. He's also an accomplished Business Development Executive providing solutions to a myriad of business markets.

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