Watch out for oil

$USO, the etf that tracks oil, has moved into an area of resistance on the weekly chart and needs to be watched closely for possible whips back lower. This could be an indication that crude is getting into overbought territory.

It has closed green for roughly 9 weeks in a row now, and is into an area which coincides with the 200 and the 50 week moving average. In attition there is a trend line resistance level just above the 200.

Watch your exposure to oil in the coming weeks.