USO update

See my earlier post today on USO.

We were expecting some more downside from USO-at least before Japan-again see my earlier post today for a more complete explanation. While nothing goes straight up or down and this could just be a wobble in the down trend, the 1 min chart has been exceptionally strong today.

Here's the 1 min chart showing a positive divergence most of the day. I mentioned earlier the dynamics of Japan and how it could effect oil, one new dynamic would be oil traders front running Japan's eventual energy needs once refineries and ports are re-opened. We need to watch and see if this is just a wobble in the downtrend which is intermediate in scope as we expect new highs in USO, or if this is the front running of the trade I mentioned earlier.