USO is an Exchange Traded Fund I use to track the price of oil. USO may be rounding out a tradable bottom at these levels. I have applied my Volume Weighted MACD to this daily chart of USO. The MACD is displayed in the center pane. I have also colored my price bars green when the MACD is positive and red when the MACD is negative. Although USO has continued to slide lower, MACD suggests a progressively improving technical condition in recent months.
Worden Stochastic also shows an encouraging pattern as it turns up from a prolonged oversold condition. I would like to see the Stochastic surpass the early January level in convincing fashion. It is very close to testing that level right now.
Finally, price itself is testing its 50-day front weighted moving average right here, which I believe is an important test to pass.
Overall, I think USO offers a desirable risk-reward ratio for a long entry at current levels.