USOIL to follow fundamentals/EIA/API/Rigs and channel/squeeze until September OPEC meeting.
Currently at 46.60ish. EIA report was but less than the report. I am still tempted for potential break-out buy point is at 46.00ish? But another more realistic possibility for me--if last week was just a sign of major short squeeze and we are now at a neutral zone, then we may go back towards the another major short after a failed OPEC meeting. But, because of looming OPEC meeting and rumors of a supposed cap, we may have a little tug of war between the bulls and bears resulting in a channel.
Fundamentals point to bearish: As of today, EIA , , Baker Hughes are .
Technicals: The pullback is week compared to the jump; but again, the last few week jumps have been supposedly a major short covering and this pull back is likely a neutral pullback.
Conclusion: sideways movement again until the OPEC meeting as news goes back and forth.
Prediction: The week of the OPEC meeting, possible sell-off because OPEC will probably not fall through again.