Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Crude Oil - critical support at 75.80 (200-Week MA)

|Includes: iPath S&P Crude Oil Total Return Index ETN (OIL), UCO
There are 2 technical scenarios to approach the present structure of the Crude Oil's trend. However the both rely on the Critical importance of the 200-Week MA at 75.80.
 
First and most obvious is the Ascending Triangle breakout above 75 that happened in October. The upside is coinciding nicely with the 200-Week MA and the measured target is around $91.
 
Second scenario is if the Trendline Support that comes in around 76 will hold the rise. The RSI is holding a steady run above the average and that is positive for the scenario.
 
It is however a curious development that we have 3 weeks of indecision marked by the 3 Dojis which are also spinning tops as the Highs of all coincide. While Gold marches higher relentlessly these 3 weeks of tight range might be considered a warning to the Bulls as most obvious patterns recently failed to materialize.