Charting Oil: Breaking Down - Raise Rates, and Break Its Back

This is THE chart with the sensitive inverse relationship to my last note (rising US interest rates and the US Dollar). Crude Oil is in a bearish "Trade" position under the $127.20 line, and a bullish one above that.

If Bernanke raises rates he can break the back of the futures market, which continues to flag contango in expected prices. I don't see any credible support for crude oil until $102.65. C'mon big Ben, let's get on with it!

KM

(chart courtesy of stockcharts.com)