For those of you that looooooove technical patterns and set ups – crude oil is starting to look good.
If we’ve established that The U.S Dollar is set for a solid turn lower ( which we have! ) then it only makes sense that commodities “priced in USD” should be shaping up to make the inverse move higher.
Crude Oil Set To Move Higher
Considering this incredibly long period of consolidation / distribution in most asset classes, it looks like we are finally going to see a number of “standard correlations” come back into effect.
A large move lower in USD being the key factor, as these assets priced in U.S Dollars begin to move higher.
I’m simply ignoring “any and all” other news with respect to inventory / consumer demand etc as oil will take a sizable jump on further USD weakness.