Mike's Mid Day Minute is available to members on Monday, Wednesday & Friday evenings, with one article per week available to non-members. Members please login and see "Mike's Mid Day Minute" in the navigation menu towards the top of the page.

Inventories Continue to Weight on Oil Prices, But Likely Not On the Fed's Decision


After another weekly build in Oil Inventories, reported this morning, Oil has pressed lower off of yesterday's recovery high at $37.88 to $35.85 so far today.

As mentioned in yesterday's chart post, the pattern carved out off of the Dec 14 multi-year low at $34.53, exhibited unimpressive counter-trend form, which suggested strongly that another loop down to revisit the $34.53 low was more likely than a challenge of key resistance at $39.00-$40.00.

Such a scenario appears to be unfolding, which my pattern work indicates is the emergence of a sideways, range-bound bearish digestion zone between $37.75 and $34.75... ahead of another downleg (the final plunge?) that will project to $30.00 - $29.00 ahead of the elusive counter trend rally to $40.00.

  • Action-Oriented Trade Set-Ups in Stocks & ETFs
  • Macro Analysis of the Broader Markets
  • Detailed Technical Guidance for each Trading Idea
  • Live Interaction w/ Mike & Our Member Community
  • And Much, Much More!
Join Now! - Special Offer!
Veteran Wall Street analyst and financial author, Mike provides detailed and timely analysis and trade set-ups on a range of markets. Read more...

Have Mike's “Out Front” morning analysis delivered FREE to your email inbox twice weekly!