Replies to post #218779 on Zeev's Turnips Patch-No Politics (ZEEV)

[ajtj99]

Zeev, do I recall correctly that each $1.00 increase in the price of a barrel of oil subtracts about 0.2% from GDP?

The reason I ask is I see two formations on West Texas Intermediate Crude which are scary. One is an inverse H&S that targets $62 and the other is a possible ascending triangle that targets $55/barrel.

http://stockcharts.com/def/servlet/SC.web?c=$WTIC,uu[h,a]maclyyay[pb20!b50!b200!c13!c20!c50!i!d20,2!...

It seems the oil market may be in the process of discounting civil war in Iraq. If this occurs, it's the stuff recessions are made of.