Friday, April 01, 2011
USO Breaking Out
By Mike Paulenoff
With NYMEX WTI and BRENT OIL up $2/bbl, the U.S. Oil Fund ETF (NYSE: USO) is acting well. The USO sure does look like it's breaking out to the upside from its month-long sideways digestion area, which my work argues projects towards a next target zone of 43.60-44.20.
insert.a.chart.USO
At this juncture, only a downside reversal and violation of Tuesday's pullback low at 41.16 will compromise the budding upside breakout.
