There is an intraday reversal every single day
Oil doesn't trend, it does laps. If you look at a 10 minute chart over the last month it's absolutely brutal. Every move fades and if it's not within a few hours, it's within a day or two. Small, short-term support/resistance levels are hardly respected and if you've been following the news, there's hardly any correlation with the headlines.
At best, if you scroll back, there is a slight uptrend but it's a tough one to trade given that a punch in the gut is possible at any moment.
I mean, there are traders who can make money in any market but holding onto oil for any more than 50-cents at the moment takes a special kind of nerve.
Meanwhile, Lee Saks has some comments from the former God of Crude Oil, Andrew Hall, who says that if oil stays in contango the ceiling will be $55 but if it goes into backwardation, he sees mid-$60s by the middle of this year. In terms of OPEC, he said the cuts won't affect US inventories until at least February, probably later.
