In my previous post, “CrudeOil To Kill The Market Rally, Economy?”, I analyzed the effect of crude prices on the markets. The charts clearly showed that $70 crude had an effect on the market, and $90 crude tanked it.

At that time, I mentioned that crude oil has broken out of a triangle pattern at around $75, and look to be heading much higher, with price targets around $96 for a 50% fibonacci retracement.

Since that time, crude oil has shot up past $80 per barrel, and has formed my favorite chart pattern of all. A bullish flag. Bullish flags are highly reliable patterns with good price predictability. Take a look at this video, and you’ll see the bullish flag predicts crude oil to hit $96.50, which coincides nicely with my prediction on the 8th of October.

Last 5 posts by Steve Warshaw

• Ford Cup With Handle Chart Pattern - November 18th, 2009
• Video: Gold Forecast November 16th, 2009 - November 17th, 2009
• Free Email Trading Course – Guest Post by Adam Hewison - November 13th, 2009
• Looks like a flat to down day on the SP, if it turns down, look out below - November 13th, 2009
• Video – Has The SP 500 Topped Out? The Technicals Say ‘Probably’ - November 13th, 2009