Crude Oil: Near-Term Reaction Low

October Crude Oil has pressed to a new near-term reaction low at 87.12, down 10.8% from Tuesday's rally high at 97.66, which my work argues was the peak of the first upleg of a budding bull phase that commenced from the 8/16 low at 85.31.

If my interpretation of the pattern proves accurate, then Oct. Crude needs to find support in and reverse from the 87.40 to 85.30 critical support zone, and then climb above key initial resistance at 91.20/70 to trigger upside reversal signals. 

At the moment, this AM's 87.12 low was NOT confirmed by my 4-Hour Momentum gauge, which could be a preliminary sign of near-term downside exhaustion... Last is 87.87 as Oct. Crude circles its up-sloping 200 DMA, now at 87.98...

9 01 Oct Crude 4 Hr 850 GIF
9 01 Oct Crude 4 Hr 850 GIF

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