Crude Oil adjusted for the US$ strength gives us a good idea how real the demand for Oil actually is or in other words whether the Economy is strong and therefore demands crude for transportation, production etc.
What we can see here is that Crude in Euros is struggling or pausing whatever you prefer. This situation will resolve one way or the other and technically we see the development of some near term Volatility.
The Direction is hard to call here, but if crude breaks upside through the RSI Resistance level then we could expect some explosive action like in Apr. 2008 (Inflationary Case).... if it falls down then buckle up for Deflation !! (we would call this technically a failed breakout of the 50% Fib. Retracement level and failed moves usually become explosive moves too)
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