Honey, is it time for the Jetski and Convertible again?

USO

Looking at the Weekly chart, USO is oversold on RSI . Sell off VOLUME is enormous and appears to be slowing. We're also sandwiched in between the weekly ($4.30) and monthly supports ($3.70). From these regions, I am looking for a bounce up in the near future to retest resistance (highlighted) in blue, especially if we're getting close to a rescinded "lockdown" order. I anticipate oil demand to rise sharply with immediate "recreation" travel demand, i.e. Road Trips, Jetski's, ATV's, Cruises, etc. Let's be honest, who in their right mind will remain at home one sec longer after having spent a month + in isolation? Time will tell with this one. Good luck!

NOTE: NOT TRADING OR INVESTMENT ADVICE> ENTERTAINMENT ONLY!

Comment:

Interesting turn that price of oil took on futures physical delivery contracts. The news is there is no demand and no where to store barrels. This has definitely impacted USO. Right now USO ETF was halted for news pending as crude prices extend the drop. The June contract on Tuesday was down almost 30% at $14.38 a barrel, a day after the May contract plunged to historic close in negative territory for the firs time ever. USO is down more than 70% so far this year, as of Monday's close. Watching closely for next moves here.

Trade closed manually:

Another reverse split "chart destroyer". Closing this trade down to follow the new prices for potential pivot zones.