Crude Oil tends to be an important commodity, on a global scale. A “Trend reversal” is being attempted by this important and influential asset.
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Crude has been confined inside of a narrowing pennant pattern the past few months. A couple of weeks ago, Crude started making an attempt to break above pennant pattern resistance. So far it is a couple of percent above the top of the pennant pattern.
Now Crude is testing its 2015 highs at (2). If Crude can take out these highs, it should attract buying pressure to Crude.
The Power of the Pattern is humbly of the opinion, what happens at (2), should have a large impact on portfolio construction in the energy sector and potentially beyond going forward.