WTIC West Texas Intermediate Crude Oil Weekly Chart; Ominous Descending Triangle with Baseline at 66.66 that Opens the Door to Hades

The ominous descending triangle pattern was shown in early October. Price came down to tease the ominous 66.66 support, and baseline of the triangle, for the bounce or die decision, and oil bounced. More sideways chop suey occurs for five months and we are back in the same spot again.

The descending triangle is a bearish pattern. If the 66.66 baseline fails, the door to Hades will open for the oil market. Price will collapse. If it does, it means the planet realizes that a deep recession has started, or is about to, and it may be an all-out 1930's depression-redux. As the worldwide central banker largess fades away, and true price discovery finally appears, there are going to be a lot of companies and individuals swimming naked. It will be an ugly sight.

130 was the peak high and if 67 is the base that is 63 difference but it may be unrealistic to expect 3 if the baseline at 66.66 fails. Oil did get down to 6.50 at the start of the pandemic in April 2020 so never say never. Even the second touch in would be the 123 high so that difference is 56 so the downside target would be 10 or 11. That is a price when everyone is saying, "We don't need no steenkin' oil."

King Donnie Trump, in his paper Burger King hat, has sent the oil rigs into the fields to drill, baby drill, but for what? If no one wants the steenkin' oil, what do you do with it? The oil companies appreciate the sentiment and may be sending their rigs out, especially to drive by the Whitehouse to appease baby Trump, but those rigs sit idle. If there is no money in it for them, they will not drill, baby drill. The only drilling that is happening is at the dentist's office.

Price has been steady as she goes but this does not go on forever. It is bounce or die time. WTIC oil is at ..... 66.42. What the hell?  No, 66.27..... mayday!.....mayday!! Holy smokes, the thing is failing as this is typed. West Texas oil is fighting for its life right now. It is in major trouble if it cannot bounce.

Looking at the charts, the daily chart is set up with possie d, the MACD is setting up so actually a relief rally would be expected in the daily time frame but the weekly chart remains weak and bleak. Thus, price would be expected to bottom today and tomorrow and bounce for a few days or week or so, then roll back over and come down probably taking out 66.66 definitively. Keystone is not playing oil long or short right now. I'll Fix Your Flat Tire, Merle, don't get your guitar pickin' fingers covered with earl. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added 10:00 AM EST: WTIC 66.08. Brent 69.24.

Note Added 11:51 AM EST: Oil is taking the pipe down about -4%. WTIC 65.25. Brent 68.37. The descending triangle baseline is giving way. If you are long oil, you are clenching your buttocks.

Note Added Thursday Morning, 3/6/25, at 4:16 AM EST: WTIC crude is at 66.42. Brent oil is at 69.36. The drama continues. If you are long oil, do you feel lucky, punk? Well, do you?