Today Nomura Securities came with a report that suggests oil should go to $220 or so. Just recently I put a maximum likely price at about $104 (see previous blog), the reason being that that would be a 61.85 retracement from the lows of the drop from $147. There are futures, there is spot and there is West Texas and Brent, you can slice this in a million ways so the $104 target has no pretense of being perfect. Above you have a stylized depiction of an A-B-C retracement, which, now that the wedge seems to be incorrect (or had a big throw-over) suggest a further rise to $100/$110.
SU has this same A-B-C pattern and could climb up to about $50. (62% and C=A).
We kept the chart clean in order to make the pattern more noticeable. Also shown , below is JE, this is a great company run by Rebecca McDonald who hails from Sarajevo. This company was formerly known as Energy Savings and its principle business is marketing natural gas. It grows rapidly and pays a very high dividend and could be considered recession proof as nobody likes sitting in the cold. However it is not clear why the company should benefit from higher prices per se. Here is the stock;
What is interesting about this stock is that it came down in what could be an expanding diagonal. If so chance are very good that it will double top, but to be safe we would use a stop at around $13.