Below is the quiz from Monday of this week (see quiz post here)  

For those that emailed me/ask for the answer and took the positions that the “Power of the Pattern” was suggesting, might be pleased this morning,  since the quiz was suggesting to short the product below and it is off almost 3% early this morning.

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Below is the answer to the quiz…which is the Brent Crude Oil futures contract!

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The quiz reflects that the Brent Crude Oil futures contract has created a multi-year rising wedge, at the Fib 23% retracement level with numerous resistance lines coming into place.  This “Power of the Pattern” now suggests that their is a two-thirds chance Brent will fall in price in the near future. 

With a such a big wedge, the Fib 23% level and these Resistance lines coming into play at the same time, the odds increase that this contract will see lower prices down the road!

Anyone notice a pattern theme taking place of late?  

 Grain shorting opportunity last week (see post here)  

 Important message sent by grains in 2008, that is sending a message RIGHT NOW per stocks (see post here)  

Slippery Slope for Crude Oil ahead (see post here)

The chart below was sent to Premium members a couple of weeks ago, reflecting that repeating Fibonacci patterns were suggesting a rather large decline in Commodity prices were to take place in the near future.(see Commodity decline here)

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These Commodity patterns have been suggesting for a few weeks that softness in this arena was going to take place and that Capital preservation was and still is a decent idea!

Should these declines take place is a “Macro Economic message” being sent?  I suspect so, yet I will leave that up to much smarter people to figure out.