I have the feeling that today, oil has drawn a reversal pattern that could lead to higher oil prices.
This is also confirmed by SCO.
USO is also showing accumulation, but it much less reliable.
It is interesting to see that the airline sector has been under heavy selling pressure, even though most US airline stocks are make new highs every day. I suspect that traders are starting to short airlines as a bet that oil is going to bounce and hence, airline's costs will increase, which will directly reflect on the stock price.
You can see below the corresponding patterns between oil and stock prices of these airlines.
here is the most recent EV patterns for two of these: LCC and LUV
Also, if oil prices bounce, oil sand stocks (CNQ IMO, etc.) should do well.
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