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TECHNICAL ANALYSIS | May 4, 2009
Crude's Continuous Contract Consolidates
After a massive decline in crude oil during the last half of 2008, it staged a stealth recovery in early 2009. Crude oil is now under consolidation. But is it possible that crude oil is attempting a comeback? Tensions are once again mounting in the Middle East, while the Organization of the Petroleum Exporting Countries (OPEC) is continuing to aggressively cut production in order to shrink supply. During this recession, the US is racking up recordbreaking deficits that in time will devalue the dollar and create inflation. But these actions will only strengthen commodities over the long term.
by Ron Walker
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