This most recent trendline break should bring crude futures back to test the key 50 level (49.90 is the level that I’m watching). A solid break below will have firmed up the failed breakout/bull trap scenario that I’ve been favoring. Also worth noting is the tight correlation between crude prices & the U.S. stock market which would indicate that if the crude bull trap scenario plays out, with crude prices headed much lower, the stock market will likely follow. @schooner recently posted a compelling chart illustrating this tight correlation in the trading room. $CL 60-minute chart:
$CL 60-minute June 9th