Blow off candle $2 in 60 seconds. Took out a few shorts and created a lovely short at the same time! Mind you, by the time I've deducted my heating expenses for the day I might only break even.
Just up for a few here in California = 3:30 AM. Here's the one minute spike just before midnight my time. Spiked about 2 points. Like you say not a good short initially, but turned into one. And in fact it spiked almost 4 points in 18 minutes. Volatility indeed.
I have a dream! CL yield curve becoming fair again... it can take months though, with plenty of time decay in the mean time. We had better be right this time, because I've just legged in at a nice round $20 a pair (would that be the cost of production?) Note I said "legged in" (at 115-95, not as a spread trade, but still trading with the trend, so the heat on the first leg (CL) was very small, I did it as soon as I noticed the support from the Last Hour crew bidding up the expiring March contract - see the previous chart). Speaking of which... it would be a small step for a cliche talking person, or for instance for NYMEX or ICE to straighten the "bent" CL curve. No need to introduce any new cash-settled contracts, just bring the expiry of the existing ones in line with CL. Because entirely by coincidence, the cash-settled WTI-based contracts (QM@NYMEX and WTI@ICE), expire conveniently 1 day before the Only Trading Day... so for instance the March cash ones expired on Feb 21, giving the Big Boys one extra day to play with the physical one... That should do the trick, just push the expiry of either of these cash-settled contracts by a single day to break the Last Day Trading Cartel. Let all traders bid up the oversold front month contract until the last moment or past it (to settle for cash). Now, what are the chances of that ever happening seeing how "carefully" QM and WTI have been designed?
Just shorted at 100.78 and covered at 100.42 about a minute later = $360 Unfortunately just a sim trade. Too volatile for my real money. Good read though. I'm heading back to bed. Good trading to whoever's up on the East Coast, in Europe, or wherever. See you later. Employment report coming up. http://www.briefing.com/Investor/Public/Calendars/EconomicCalendar.htm
When did you call your entry on this trade? I missed the entry call. BTW, for anyone interested: I'm using .20 stops, .40 minimum target now. I moved a stop to b/e earlier after 15 ticks in my favor, stopped out, re-entered at the same price and left my stop in place. Worked out fantastic. So unless it's a breakout play, I'll be leaving my initial stop until .20 in my favor. I'm closing ET, email and everything else until I'm done trading, because I'm cross-referencing 4 time frames, and tracking near term S/R levels at all times. Good trading to all!