As expected, CL (crude futures) has broken down below the bearish rising wedge pattern that was highlighted in the trading room last week. Should the recent tight correlation between crude prices & the equity indices continue, this breakdown in crude, which followed the recent breakdown in comparable bearish rising wedge patterns on the broad markets, should bring equity prices down along with it. My minimum pullback target zone on CL runs from about 36 - 35.50, as shown on these 120-minute charts (previous & updated):
Crude Oil Futures Rising Wedge Breakdown
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