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Oil - What Happens When Indicators and Prices Diverge?

by: Michael Kahn December 19, 2008 | about: DBO / OIL / USO    
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When indicators and prices diverge, usually it is price that concedes and moves in the direction of the indicator. What happens when a commodity and its related stock sector diverge?

click to enlarge

Again, it is usually price that gives up. This chart does not believe oil is going to 25 bucks per barrel.

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