Tuesday, April 9, 2013

Crude Oil

When this spring uncoils all markets will be effected.

3 comments:

Anonymous said...

Please define "uncoils" ...

Thanks

Fibocycle said...

By 'uncoil' I am referring to the resolution of the triangle formation from April 2011. This pattern is coming to a decision point--where the lower green line and upper red line intersect. As well as the triangle formation crude oil has been in an extended sideways movement from August 2010. I am using the analogy of a spring ready to uncoil since there is a tremendous amount of 'energy' being built up during this consolidation--the resolution of which will likely be a minimum $40 move on the breakout of the triangle. The coloured bars on the right side of the chart indicates the bullish/bearish parameters. There should be a resolution to the triangle in the next month.

Fibocycle said...

....also note that the apex of the triangle is at the midpoint of the 2008 decline. (50% in purple)