Oil intermarket: DXY and oil positively correlated in crazy times

WTI has fallen off a cliff since the highs of $52.21 in October and has met lows of $44.66 today. 

The organization of the petroleum exporting countries meetings are likely to be the big headline events for the rest of this year, but for the meantime we will be monitoring events related to the US elections and the subsequent impact on the greenback that is usually negatively correlated to the price of oil. 

The price of oil has broken down below the August ascending trend-line while the DXY is also in a downtrend and en-route for a break of the 97 handle. This correlation between the DXY and Oil broke down in September and could be due a correction, however, the S&P 500 is also under pressure and demand has fallen out of the market as we head into uncharted territory towards the elections in the US next week and the awaited outcome of next months December meeting.