Last Tuesday we looked at oil.
Last week oil delivered bullish follow through to the weekly swing low. We discussed that oil needed to break above the declining weekly trend line to confirm a new intermediate cycle.
Oil broke above the weekly trend line on Monday.
Oil delivered a clear and convincing break above the declining weekly trend line on Monday. Barring a complete reversal, this confirms that this is week 3 for the new intermediate oil cycle.
Oil had established a weekly uptrend prior declining into the week 18 low. Oil remained above the lower weekly cycle band as it printed the week 18 intermediate cycle low which indicates that oil remained in its weekly uptrend. Oil broke back above the upper weekly cycle band on Monday, continuing its weekly uptrend. Oil will remain in its weekly uptrend unless it closes back below the lower weekly cycle band.