Oil May Be Down But It’s Certainly Not Out

It may sound crazy to say this given where oil futures are trading, but in some ways, this has been the most positive week or so for crude for some time. The chart indicates that there is a good chance that the big move down is over, the slight bounce suggests that the next move will be a retracement, and when looked at in context, oil is actually performing well. The chart above is for the main WTI futures contract, CL. As you can see, the big drop took the form of a pretty classic Elliott Wave pattern, marked in blue (Okay, Elliott purists, I…