First a look at USO back to 2009. The $31-$32 level just highlights the major pivot zone that band has represented. The angled lines are multi-pivot parallels (equi-distant from one another) based off of the price behavior throughout 2009 and projected forward. Recently price bounced within that long-running support pivot (between $31-32) and made a run up to previous support (support-turned-resistance?) on waning volume.
The current wedge also happens to be a bearish wolfe wave (looking for volume to activate the "sweet spot").
The setups I include on this blog are used in conjunction with the 3/10macd and the criteria I ascribe to it as a way to alert me to an existing condition of price. The key concept to take away from this blog is that I try to anticipate what will happen on the higher time frame by using a faster time frame to trigger the trade setup. I do not trade a "system" I use two indicators to clue me in to price conditions. Please read the Disclaimer located in the sidebar of this site. I can be contacted via email at email@example.com
I am always open to questions, comments, or suggestions on how to improve this blog.