joefridaycrudebullishwickat support jan 22


The decline in Crude Oil over the past 18-months has been historic, largest 18-month decline ever!

Crude remains in our opinion, the most important commodity in the world and its relentless decline is of concern, on a macro basis.

The chart above looks at Crude Oil and its Fear Index, on a monthly basis.

Fear index has peaked a few times when it hit lofty levels at line (1) above

Joe Friday, Just the Facts- So far this month, Crude Oil is creating a bullish reversal pattern (bullish wick pattern) at channel support at (2) above.

This is a monthly chart, so where it stands at the end of the month will be critical for this pattern. Crude could also be creating a bullish falling wedge pattern. To prove this pattern read is correct, Crude Oil needs to break above falling resistance line (3), which is still a large percentage above current prices.

Crude is testing support at the same time as stock indices in the States are doing the same below

spx dow mdy testing rising support jan 22


From a Power of the Pattern perspective, I find it very interesting that Crude is testing support and that stock markets around the world, are doing the same. The 5-year rising bull trend in stocks, has NOT been broken, so far.

For sure, if support would give in Crude and the Stock market, bulls should be pretty concerned.

How The Recent Decline In Stocks Looks "Eerily" Like Major Bear Markets Of The Past