Nymex Light Crude retreated below support at $45/barrel, confirming a primary down-trend. Breach of $40 would strengthen the bear signal, offering a target of the 2008/2016 lows between $25 and $30. Declining Twiggs Trend Index, with a peak below zero, warns of a primary down-trend. Follow-through below the last trough at -1.0% would strengthen the warning.
Twiggs Trend Index is a new proprietary indicator that will be released with the next upgrade of Incredible Charts. The indicator combines Market Sentiment (as in Twiggs Money Flow) over Volatility rather than Volume (in Twiggs Money Flow). Signals are read in a similar way to Twiggs Money Flow but it just gives readers a slightly different perspective on the market while avoiding some of the occasional distortions caused by massive volume spikes that affect Twiggs Money Flow. I will publish more detail in a separate newsletter next week.
Very extravagant call imo.
I don’t think Oil can be talked down below $ 30
Everyone is onto the fake news these days & doubt the horror stories put out in self interest
We shall see, but I’m buying Oil shares now
$25 to $30 is the historic norm (inflation adjusted price/barrel) before 2004/2005 (China).
I’m glad you put china in brackets. We can’t rely on historical prices because the world is now a different place with China expansion.
“….the world is now a different place with China (expansion)”
‘Expansion’ is likely to alternate with ‘contraction’ — making the world a very different place.
China expansion since 2004 has been huge
sure the growth rate has slowed from very strong to just strong
I cant see China contracting
Do you mean this time is different? 😉
Apologies. I had the wrong link for the image. Now corrected.