USO Update

On Friday July 1st I posted that USO had pulled back around the area expected and that it was once again at local resistance, furthermore, the long term USO charts looked good for a breakout.

This morning we have that breakout in USO.

The hourly chart showing some weakness in to Friday's close and this morning's breakout, up 2+% so far.

The main charts of interest continue to be the longer term charts of USO which show a substantial base having been carved out over a 2+ week period. In fact, it seems USO may just be moving above the accumulation zone now. Volume will determine when phase 2-Mark-Up begins and that's where you can expect to see some real buying interest to come in to USO.

So far so good.