MCL1! Volume Polarity is flashing the same warning that preceded

Mar 26

History doesn’t always repeat, but it often rhymes.

On March 20th, Volume Polarity showed clear signs of exhaustion:

• Bullish volume reached extreme levels (red dots)
• Raw volume differential crossed under the smoothed differential
• Bearish divergences began printing (orange dots)

This was followed by a sharp $14.23 drop.

We are now seeing an almost identical setup after several days of sideways chop:

• Bullish volume is once again pushing into extreme territory
• Raw differential has crossed under the smoothed differential
• Bearish divergence signals are reappearing

Will crude oil repeat the move lower?

The next few sessions after the CME open will be telling.

Mar 27

Trade active

Full follow-up analysis with both Volume Polarity and Kinetic Bias indicators now available here:

Shows why the combined setup helped identify that the downside move failed.