Yesterday Crude Oil rallied nearly 15%. How often does Crude rally this much in a day? Not often!
How many times has Crude rallied nearly 15% in the past 20-years? Only one other time, which suggests that yesterdays move was a rare event.
This chart looks at Crude Oil on a weekly basis over the past 2-years. Last year Crude Oil created a bearish reversal pattern at the 2018 highs and a bullish reversal pattern at the 2018 lows.
Earlier this year, Crude created a bearish reversal pattern (bearish wick pattern), while testing its 61% retracement level of last years highs/lows at (1).
The large rally in Crude yesterday saw it come near its 61% retracement level and the April highs at (2), where early in the week, it appears another large bearish reversal pattern.
The price action this week by Crude Oil could be suggesting that another peak could be taking place this week, just below its 61% retracement level and the April highs!