Crude is blowing out near term support this morning. The USO(United States Oil Fund) is off nearly 5% and is heading for its biggest single day loss of 2019. With loads of overhead supply now in place(all of the April/early May range) as well as a declining 200D moving average, we expect more downside. Initial target is the January high($11.65). A dip to this support area would retrace roughly 50% of the entire 2019 range.
At time of publication we do not have a position in USO.