1.) Oil prices were in a upward trend since early March.
2.) Prices moved into a downward sloping channel.
A.) Prices are now below trend line 1 and above trend line 2.
The above chart is a close of of the current price action.
A.) Notice that prices have gapped higher but the prices have not printed a strong candle, instead printing candles with short bodies and long shadows.
1.) Prices have been in an uptrend for the last 6 days.
A.) Notice the gaps higher on three different days, indicating a strong demand situation.
