Thursday, October 1, 2009

Thursday Oil Market Round-Up

A.) Prices have broken the upward sloping trend line that started in March.

Click for a larger image. Ignore the last bar.

A.) Prices gapped down lower when they broke the trend.

B.) Prices then continued lower printed long bars on higher volume. This indicates the sell-off was strong; people were obviously had plans to get out of the oil market.

C.) As a result of the downward price action the EMAs are not more bearishly aligned. The shorter EMAs are below the longer EMAs. The 50 day EMA is getting pulled lower.

D.) Yesterday prices rebounded strongly on high volume.