USO Update

Yesterday I received an email, "Is it to late to buy USO?". Considering the amount of accumulation it underwent as they held prices down in the face of middle east upheaval, I think the accumulated position is sufficiently large enough to support greater gains. Yesterday the rumor mill was churning about OPEC and was swiftly shot down. I believe OPEC itself isn't sure of the stability so they'll probably want a buffer in prices. Here's the USO charts. A pullback is a most welcomed event.

 hourly 3C is confirming and strong.

 The 1 minute shows a negative divergence that has already started a pullback, nothing to fret over, it's an opportunity to get a position at a better risk:reward ratio. Make sure risk management and position sizing are used as event are out of smart money's control.


Here's 1 10-bar m.a. in yellow on 1 60 minute chart, it is a likely area for a pullback. The rest of the crossover screen is in total buy mode.