I will soon post a chart delving deeper into details about a possible trade with oil . I will discuss entry points, stops, targets and timeframes.
While oil is rising it still does not look like a rebound as there is no clear upward impulse. Worth noting that the situation with physical oil storage is close to critical. Cushing is at 90% capacity utilization and rising. Oil tanker rental costs have spiked in the last quarter because oil trading companies have to rent tankers instead of keeping oil on the ground - there is simply no more storage left! This means that we may soon reach a point of breakdown when traders would dump the futures at any cost because they will not be able to fulfill the physical purchase obligations.