The new lows made just a week ago is positively diverged, without having new lows on which is a big buy signal.
T/P: 54.11/ 58.77
In my opinion, the Baker Hughes Rig count is nothing more than a distraction of what the market intends to do. I'm in oil in the short term and long term. It does not matter if the rig count decline in speed/velocity or not, the market will always have their excuse of why its going up after; when technicals have long confirmed that.
ps: dollar is going higher :D
a potential inverted IHS? As long as 46 holds, it is not that bleak
but more often than not this one time incident is what i call Knee Jerk reaction (not even a black swan), once the attack is over, they find that "Oops" the oil supply become 2x oversupply, this will drive the price even lower :-)
When price is in a steady downtrend, no amount of good news can reverse it but only causing temporary spike, v.v.
Most often, the intention of the market may already be written on charts. It just need a reason to justify (a.k.a the mentality of the majority of traders out there: "Why does this rally? If there's no reason, why would they sell/buy it") BUT... are they really reading the news if sometimes the price rallied even on bearish analysis prediction? I've witness this many times after moving on from Bitcoin to other markets like oil/stocks.
Greece debt being extended:
FXCM missed its quarter, but why did it rally?:
Overall its in a steady downtrend, but this megaphone is in the process of reversing it. After all we already had 60% drop in price so far.
$20 said by anal-yst like Citibank is simply a bear's wet dream in my opinion :D
My believe is that oil must be higher than what it takes to pump it out.
Shorting 54 for the past 3 months have been SUPER easy for traders on the past few months.
With a relatively good fundamental reason, I'm guessing that a short squeeze might take us up 54 this time.
I think 58 is possible depending on what happen on US market opening tomorrow.