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Crude Oil broke above its rising channel, reached its 61% Fib retracment level, fell back and tested the top of its channel as support and now is testing Fib resistance again. Crude oil hasn’t succeeded nor failed at this key Fib level, at this time.
Game Plan….Own DBC at this time, due to its patterns and exposure to the energy complex (see post here).
Will Crude Oil move back to $140? I DON’T KNOW! Yet…..Based upon Fibonacci, if Crude Oil breaks above this key resistance level, I would want to be an owner since few resistance points come into play before much higher prices.