On oil's weekly chart, notice the following:
-- Oil broke the multi-year uptrend a few weeks ago
-- Prices are below all the weekly SMAs
-- The 10 and 20 week SMA are both moving lower
-- The 10 week SMA is about to mover through the 50 week SMA
On the daily chart, notice the following:
-- Prices have been dropping for about two months
-- Prices are below all the SMAs
-- The 20 and 50 week SMA are both headed lower
-- The 10 day SMA is about to move through the 20 day SMA
-- Prices are having a difficult time getting higher than the 20 week SMA
Bottom line: this is now a bearish chart. The weekly chart has broken the mult-year uptrend and has numerous bear market indicators. The daily chart has been dropping for two months and the longer SMAs are both moving lower.
