Oil Long: Finally ExhaustionAs I expected, but wrong in terms of timing, oil is seeing an exhaustion in its downwards movement. Yesterday was the DCL according to Time Cycles . Additionally the Stochastics RSI looks dangerously oversold, which leads me to believe that the reversal to the upside will be very rapid. I expect the first selling zone to be $47-46.40 (blue rectangle). From there we should continue downards, as the long term sentiment for oil is very bearish. The MACD is reversing as well , but I expect it to follow a similar pattern as it did 2015-11-16 to 2016-01-18. Finally very crucial to how rapidly Oil will rebound to the first selling zone is:
Wether Clinton or Trump will be elected. As wikileaks proved, Clinton has good relations with the Saudi, or at least she accepts their money in exchange for favours and thus a Clinton President will help oil rebound.
API and EIA data
NYMEX:CL1! NYMEX:CL2!
