Caleb Franzen: Crude oil loses support and 200-day MA cloud

Caleb Franzen: Crude oil loses support and 200-day MA cloud
Crude oil loses support, deflation risk

Crude oil has lost structural support and fallen below its 200-day moving average cloud. Caleb Franzen described these developments and said this could create deflationary pressures within four to six months. He added that the Federal Reserve is likely aware of this, especially as non-energy U.S. CPI inflation is at its lowest in five and a half years.

Caleb Franzen has previously criticized Opendoor's performance, highlighting the stock's 87.8 percent decline since its IPO while major indexes advanced here. In a separate note, he observed a bearish engulfing pattern in the S&P 500 as tech and growth stocks underperformed their cap-weighted peers here. These observations come as Franzen continues to track major trend shifts across markets.

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