USO and EIA Report

 EIA Report was just released showing a draw...

Released On 8/15/2012 10:30:00 AM For wk8/10, 2012

	Prior	Actual
Crude oil inventories (weekly change)	-3.7 M barrels	-3.7 M barrels
Gasoline (weekly change)	-1.8 M barrels	-2.4 M barrels
Distillates (weekly change)	-0.7 M barrels	0.7 M barrels

I have no idea what consensus was as they don't seem to publish that like they do for NAT Gas, but USO liked it.

The reaction on the report release.

Now take a look at the USO charts and then 1 more.

 Here's the 1 min, it almost seems as if the report was leaked which we use to see with some frequency.

 However, after the 1 min positive, things go down hill from there, the 2 min leading neg.


 3 min leading neg.

 5 min leading neg.

Now you see why I wanted to see a short term pop above resistance to short in to?

 The 15 min at relative price levels with a leading neg. divergence.


 The more important 30 min above and 60 min below, both negative.

Below is a chart of the weekly change in inventories, we are near the top end of the historical range for the EIA, we have summer and it would seem a diminishing chance of military action in the Middle East before an election which is what has helped keep oil higher. I'm willing to take a calculated risk on USO short in adding to the already established positions, but I want a move above resistance for that risk.

* Data in graph are as released and do not reflect subsequent revisions.