Crude Oil Market Reversing Yesterday’s Late Rally
Yesterday, the market rallied into the close and closed above the high at $54.49 based on the March contract, which was the high of January 16th. Today, the market is back below that level. Once a resistance level is broken, I watch to see how the price behaves at that level. Does it trade back below it and stay below or work its way above again? Also, I plot a trend line on the support points for the RSI to see if the momentum turns down.
The 5-minute bar chart of the crude oil with the SnapTrader and the resistance line plotted. For the moment, the market is holding below it.
The TradeFlow Chart shows there was good buying on the first test of the $54.49 level. The buy volume of the TFVCrss study was dominating.