The May Crude Oil futures contract has regained its 200-day moving average in overnight trading. Significant.
Crude is lifting on the back of a bigger than expected draw as measured by the API. Specs have also reduced their net long positions after last month’s big plunge in oil prices. Let’s see if the API data are confirmed by the EIA tomorrow.
The question is looking at the chart is this a move back to the $52-55 trading a range? Or the build of the right shoulder of an H&S pattern? Or neither? Tell us and we will buy a yacht together.