Peering into the commodities sector, crude oil closed down nearly one percent last week.
This could have been much worse, but crude oil prices jumped 3.5% on Friday.
News of a North Dakota oil spill coupled with an active rig count the continues to fall gave oil a brief tailwind.
Based on its market cycles, we believe crude oil is nearing the end of the declining phase of its short-term cycle.
We could see another dip to $54 over the next week before another short-term up-cycle begins.
Once the next cycle begins, our forecast is for crude to rise into our short term resistance zone, likely reaching $57 or better.
Crude Oil (/CL) Stock Daily Chart
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