Chart of the Day: WTI Crude Remains in a Violent Uptrend

With seemingly no end in sight to the Iran war along with the closing of the Strait of Hormuz, crude oil (and futures) have been a huge beneficiary. You can see from this chart below that just less than a year ago oil prices were down in the $55 area, but with the uprising of the war the price of crude skyrocketed and remains buoyant.

Just 16 months ago we also see a more moderate lift in crude prices and then a pullback; that was the first attack on Iran that was seen as the “end of their nuclear ambitions.” Clearly that proved untrue.

That big spike in March was enormous, a more than 100% gain in a few months. Though the commodity pulled back a bit in the summer the uptrend has been re-established, with higher highs and higher lows. Crude has lost a bit of momentum recently, but oil volatility continues to be elevated, which means large moves up and down are likely.

That big gap at the $100 level likely needs to be closed and soon, and if it does happen that may spark a renewed move higher in oil. Keep an eye out here.

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Posted by Bob Lang

Bob Lang is one of the country’s top options traders, an expert market technician, and a highly sought-after mentor and teacher. He is a private trader in equity and option markets and created his own hedge fund and options trading company called Explosive Options. He is also founder and Chief Options Analyst at Aztec Capital, LLC. He has been a regular contributor to TheStreet Pro's paid subscription products since 2009. Lang is both a short-term trader and long-term stock investor. He utilizes technical and fundamental analysis to find investment opportunities. His coverage for TheStreet Pro specializes in options trading, stock investing, and technical analysis. One of Lang’s claims to fame is his creation of the acronym FANG to describe the top tech companies at the time (Facebook, Amazon, Netflix, and Google). The acronym has since expanded considerably and is still widely used today. He is the author of the book “Know Your Options” and holds an MBA from the University of Redlands. When he’s not providing financial commentary for TheStreet, he can be found on the tennis court, reading, or traveling.

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