Oil is going higher. All the fundamental and technical analysts calling for lower oil got it wrong again at the cycle bottom. This has become almost like clockwork. As soon as they start pulling out “the fundamentals” you know it’s time for the cycle to bottom.
During this second daily cycle oil will break through the 200 DMA and I expect we will at least see price above the October highs before this intermediate cycle tops. And, with oil resuming its rally, there probably isn’t going to be much further downside to the stock market daily cycle low (DCL).