Oil went for a slow grind higher overnight only to be smacked down early this morning. The responsive seller took action ahead of yesterday’s high $51 and pushed us right back to the LVN at 49.84.
I sincerely hope that as I continue to track this commodity you begin seeing the value behind viewing market behavior like an auction. The compliance to value is oil has been nothing short of impressive these last several weeks.
This week has been no exception—the confluence of value area high and micro composite high volume node around $51 was the key reference point for the reversal.
The thick ‘gravitational pull’ of the micro composite point of control continues to behave like a magnet for price down at $49.13.
The Gaussian curve formations show the levels.
Heading into today my primary expectation is for sellers to use this early momentum to target the MCVPOC at $49.13. The level I am more interested in for signs of responsive buying is $48.875, the value area low of 2/26.
Levels are below:
