USOIL - On the verge of breaking decade-long pattern
We've seen massive bullishness the past few weeks in crude, and now we are on the verge of breaking past a decade-long-downwards pattern with USOIL that was established way back in 2008. Since the trend line is on the weekly it is hard to determine an accurate breakout point. I estimate a range of $60.60-$61.75 for the breakout. Given the massive bullishness, I think we are going to fly past this range in a week or two.
Next for USOIL is the ~$63.10 area where we should expect a cup-and-handle-completion with a potential retest of $60.60-$61.75 briefly to establish a resistance line. After that, we are looking at the $66.50 and $75.00 ranges. Beyond that, watch out for $93.00.
Next for USOIL is the ~$63.10 area where we should expect a cup-and-handle-completion with a potential retest of $60.60-$61.75 briefly to establish a resistance line. After that, we are looking at the $66.50 and $75.00 ranges. Beyond that, watch out for $93.00.