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Oil is very close of making a local bottom that could confirm the weekly hidden bullish divergence which then could start a 4 week corrective move to the upside. In our previous report we explained that OIL needs to make a bottom above 69.165 level. We are very close now. A weekly close above 73.67 could trigger the divergence.
On the daily we need a close above the declining trend line which is marked with a green rectangle as can be seen in the Chart. A sustained move above it will probably trigger the weekly divergence as well.
On the 4hr time frame we can see the bull flag formation as well with a nice placement of the RSI as well, indicating that this move may have more legs to go and challenge the declining trend line.
