USO

Last night I mentioned I'd be interested to see how commodities did today on the Euro bounce, according to dollar arbitrage correlations, UO should be higher, but as we have noted many times recently, USO is acting bad, it's ignoring geo-political news and is probably telegraphing trouble ahead in China as well as a Global slow down, this is why I have kept my Model Portfolio short in SCO open.

In any case, look how USO is diverging from the 1.0 Euro correlation

FXE/Euro in red, USO green, it's actually going the opposite direction. My earlier stop recd' of $36.90 should be moved down. Really a trailing stop should be in use right now for short term traders. If you need ideas for your trading style, just email me, but I would probably move the stop to $36.62 as of now unless using a trailing stop.