A 5.30% increase in WTI isn’t the end of the world — except that it follows the path we laid out over a month ago that ends in new highs – meaning higher interest rates and lower stock prices.

The original forecast from Sep 4 [see Breaking Out]:

The path since then:

The big picture:

The falling yellow channel is a great fit since 1999 or so.

But, if we pull back a little, we can see a great fitting flat channel — shown below in white.

It helps reinforce our upside targets ranging from 121-133.

As we’ve said many times since the war started back in Feb, Iran’s efforts to ramp up the price of oil will be met with strong resistance from the US and its allies. Whichever country prevails, it promises to be epic.