Chart of the Day - Tuesday, January 18th, 2022

Today’s Chart of the Day was shared by Ian Culley (@IanCulley). It's a chart of Crude Oil futures over the past three years. Crude Oil broke out to its highest level since 2014 today, over $85 per barrel. Ian points out that the next major resistance level is around $100 per barrel, which is about 17% higher from here. While $100 may seem like an arbitrary round number, it also coincides with the 161.8% Fibonacci extension of the 2020 decline. These key Fibonacci levels often act as price magnets, so it wouldn't be surprising to see Crude test triple digits at some point in the next few months. This is bad news for consumers at the gas pump, but good news for Energy stocks.