In a November 8, Barchart article on crude oil, I addressed whether crude oil will hold technical support after the 2024 U.S. election. I concluded the article with the following:
Geopolitical events, U.S. energy policy, and China’s economy will determine the energy commodities path of least resistance over the coming months and years. In late 2024, bullish and bearish factors are causing the price to remain around the $70 level. However, the election results favor the downside, and I believe we will see crude oil below $50 per barrel in 2025, and perhaps as low as $40 per barrel. I am a buyer of the SCO leveraged ETF product with tight time and price stops. I will reestablish a long position in SCO if stopped out in the current political and financial environment.
