USO Update

USO is showing some surprising strength today.

 USO recovered very well from yesterday's ICE margin hike on Brent and WTI crude oil. In doing so it's created what looks like a Harami candlestick reversal, however I do not think there's enough of a tend there to consider it valid and is kind of like seeing animals in the clouds. Even if it were legitimate, the last preceding trend was down so it would be a bullish reversal. MACD hung in strong even yesterday and continues to today.

 The 1 min chart has gone from "Blah" to good upside confirmation.

 The 5 min chart is also in confirmation now as it moved up quickly in the green box, a sign that something bullish seems to be happening under the surface.

While we expected a dip in oil so institutional money could accumulate, there's a fine positive divergence into the February lows and today, amazingly, the 60 min chart has actually moved up into a leading positive divergence, the strongest divergence possible. I'm floored to see it move up so quickly on such a long and significant chart. Ultimately my feelings continue to be bullish for USO.