United States Oil (USO) global benchmark’s price notching another four-year high at the settlement
Oil climbed on Thursday, with the global benchmark’s price notching another four-year high at the settlement, as U.S. officials said the sale of domestic reserves wouldn’t be used to undercut a rally in crude.
Anticipation of supply disruptions caused by the renewal of sanctions on Iran also continued to underpin prices.
Crude prices have been boosted in part by Trump’s decision to pull out of a 2015 Iran nuclear accord and renew sanctions aimed at sharply curtailing the major producer’s exports. Trump, at the same time, has chided OPEC over rising oil prices. Last week, he tweeted that producers must act to “get prices down now!”
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 14.42.
The projected upper bound is: 15.84.
The projected lower bound is: 14.73.
The projected closing price is: 15.28.
During the past 10 bars, there have been 3 white candles and 5 black candles for a net of 2 black candles. During the past 50 bars, there have been 19 white candles and 27 black candles for a net of 8 black candles.
A long lower shadow occurred. This is typically a bullish signal (particularly when it occurs near a low price level, at a support level, or when the security is oversold).
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 75.4177. This is not an overbought or oversold reading. The last signal was a sell 1 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 64.60. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 61 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 100.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 1 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 7 period(s) ago.
Rex Takasugi – TD Profile
UNTD ST OIL FUND closed up 0.150 at 15.260. Volume was 41% below average (neutral) and Bollinger Bands were 19% narrower than normal.
Open High Low Close Volume___
15.260 15.270 15.150 15.260 11,781,884
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 14.93 14.39 13.47
Volatility: 19 25 29
Volume: 17,190,278 17,669,714 19,434,806
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
UNTD ST OIL FUND is currently 13.3% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of USO at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on USO and have had this outlook for the last 22 periods.