USO Set for Continued Gains

The SNB action caused volatility in Crude (Brent) futures early this morning, and they saw some downside, not too dissimilar from yesterday's stronger than expected EIA inventories build which initially sent crude lower on a quick knee jerk. However, like yesterday's post EIA reaction, I believe USO / Oil is recovering and getting ready to make another leg higher shortly.

 Crude Futures ramp and then fade after the SNB's action early this morning. However the intraday /CL chart looks to be recovering.

As does the 1 min intraday USO chart.

The 2 min chart is overall positive and flat intraday, however the 1 min positive divegrence should continue to build and cause a positive divergence (migration) in the 2 min intraday.

 All of the same applies to the 3 min chart above, which is still leading positive.

And the 5 min chart which is also leading positive.

This really isn't about crude, it's about a cycle that Wall St. has started and they'll usually finish it as we saw with the adverse EIA report yesterday and as we are seeing now post the SNB reaction to the downside.