Friday, November 4, 2011

Crude Oil Bulls Seem to Lack any Strong Conviction on the Upside

The crude oil market continues to inch higher, but seems to lack any strong conviction on the upside. Our short term Trade Triangle moved into a positive position moving the Chart Analysis Score to a +70. However, the December contract for crude oil remains in a trading range bound by $90 a barrel support on the downside, and $95 a barrel resistance on the upside.

With a score of +70 this market maybe trying to move out of its broad trading range. Depending what happens to equity markets and the global economy will likely be reflected in this commodity. Intermediate term traders should be on the sidelines and long term traders should continue to be short the crude oil market.

Monthly oil Trade Triangles for Long Term Trends = Negative
Weekly oil Trade Triangles for Intermediate Term Trends = Positive
Daily oil Trade Triangles for Short Term Trends = Positive
Combined Strength of Trend Score = + 70

Watch todays video covering crude oil and all six markets we cover publicly.

Today’s Stock Market Club Trading Triangles

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