Watching For A Bounce Long In Oil

NYMEX:CL1!   Light Crude Oil Futures
Like many people, I've been looking
for a bounce play in oil, but given the
amount of government manipulation,
I haven't been over aggressive.

We got a Friday afternoon pop of over 7%
on relatively low volume to retest $48 resistance.
This was probably a short squeeze after a full
10 trading days of lower highs. In other words,
a lot of people covered their shorts once the
selling pressure slowed around $46 support.

Monday will be the real test to see if this is going
to be the start of a significant rebound or just another
failed bounce for lower oil prices.

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.