Oil Continuing to Range

Oil has retraced from just below highs at 85.55 to seek support at 82.13. This is exactly what we anticipated would happen. We are just past the 50% retracement between highs and the lower bound of the range at 80.70. Several green triangles on the KRI suggest that support will continue, and we will level off. If not, expect further support at 81.30, then 80.70. The Kovach OBV is oscillatory, which is to be expected as oil appears to be exhibiting a broad sideways corrective wave to the overall bull impulse wave which brought us to the 80's in the first place. Anticipate another run for 85.55 if the bull trend picks up again.