Corey Rosenbloom: Crude Oil (NYSEARCA:USO) faced a major “make or break” support reversal challenge and buyers clearly stepped in at this pivotal inflection level.
Let’s take a look at what happened and update the current targeting levels for Crude Oil:
The critical support/inflection level (mentioned frequently to Weekly Intermarket Strategy Members) intersected the $92.00/$92.50 level.
The support stretches back to earlier 2013 where multiple swing reversals occurred into this same support point.
After an initial swing up mid-November, price again retested the $92.00 level a final time before buyers decided to step in aggressively, defending support and springing the powerful rally of the last few sessions.
Here’s the same perspective on a TradeStation Chart:
We again note the $92.00/$92.50 per share critical support level which also corresponded with the lower Bollinger Band.