I've been following oil for a while, stayed patient because of fundamental events in the MENA region, but recently entered USO $38 puts and DTO long equity.
I\Several charts look like crude (or at least USO) is ready to turn down and we've seen that in some price action, which surprises me on today of all days as there have been VIOLENT clashes (not the more peaceful marches) between anti and pro Morsi supports with Egyptian tanks on the street, all in Tahir Square where it all started. Apparently this latest round was flared up when Morsi supported were called on to attack the US Embassy for "helping to ouster Morsi".
In any case, I want to keep a close eye on both of these, but here are some interesting downside changes in the charts, they are also present on Brent Futures, but I didn't have time to capture another 5 charts.
USO 60 min is what really made me feel more comfortable with opening those positions.
The 10 min chart has been negative, but nothing like this.
Intraday the 2 min is leading, it looks like there's a small head fake-failed breakout attempt in yellow.
And the 5 min chart looks even more serious.
DTO is the 2x leveraged Oil short ETF I also opened a position in for longer term trends, the 30 min chart is similar to USO's 60m.
Intraday the rounding or reversal process (
vs a reversal event with a sudden shift and a "V" like bottom) looks right, the same little head fake (it's proportionate to the size of the bottom) is clear.
Again sharp movement in the 10 min chart, positive for DTO.
And even the 15 min chart.
With events on the ground I will be setting several alerts, but if there were no events on the ground, I'd say USO has reached it's turning point and heading down.
No comments:
Post a Comment