USOIL: Daily view, linear regression and range movement analysis

TVC:USOIL   WTI 原油差價合約
In this chart I graph the linear regression channels that correspond to each leg in this trend. The trend is mostly up, and it's likely that we're seeing the start of the next major uptrend leg here, since we have found huge buying when retesting the bottom of the long term linear regression channel. Technicals are bullish , without even factoring the fundamentals.

The yearly SMA matched this spot, as well as the lowest volume level since the bottom in oil             , which is a really strong support, so bearish thesis had to be discarded. Factoring in global demand vs the production cut, the dynamics of supply and demand confirm this idea, and we have strong arguments for holding longs.
Additionally, range movement, Tim West's proprietary trend analysis and sentiment analysis tool, shows that we had 2-2.3 point drops in RgMov on each correction in the uptrend, and that's what happened here, so, the sentiment declined enough to form a bottom.


Ivan Labrie.