Crude Oil Eyes Big Technical Move
Dragonfly Capital | Feb 15, 2019 12:49PM ET
I just gave my first exam of the semester, in a class called 'Money and Banking.' There are about 60 students enrolled and I collected 57 exams. So over the next few days i'll find out if the other 3 dropped the class or if they want to make up the exam.
That situation happens in the market all the time. And it is happening with crude oil right now, which has been rising since a Christmas Eve bottom. Oil stalled sooner than equities, though, pausing at the beginning of February and then pulling back. But this week it has been rising back to retest the prior resistance area.
In other words, it is looking for a make up exam on whether it can make a higher high.
This time it is not my decision whether to allow a retest. All of us collectively decide. The price action suggests a positive response at this point. The RSI is rising off of the mid line with the MACD about to cross up and positive. The Bollinger Bands® are squeezed, which is often a precursor to a big move. Perhaps resolution one way or the other is coming very soon. Look for a move over 56 to confirm a successful move to the upside with more to follow.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.