=================== a]Maybe; unless he is Michael Marcus,or Rich Dennis. b]Dont think of the specialist as an enemy; but you may know something i dont,efficiency. c]Eric Bolling[FOX] noted opec has a long record of cheating; which maybe bearish in short term.Most oil prices/unleaded gas are in long term uptrends. So i dont have any problem with your short term trendline.
There may be a double bottom forming in daily USO. But the trade will not trade place until there is a break out past $38.75 unless this is a different set up than the typical one?
================== UGA has a nice uptrend on weekly,3 weeks up/ IF this week CLOSES up? Besides it looks much cheaper than gold, a luxury. Oil /gas is necessity. Mr. Eric Bolling [FOX/oil/gas specialist]; said something about oil following unleaded gas uptrend................................................................................ Also i did not mean to imply just anyone should trade like M.Marcus. Rich Dennis, did mostly long term trends; later on he does [admit]some countertrends. Agree with Nickname / efficiency ,greed is a serious error; the fact USO did go up one day means not much. 1%-5% is the figures mentioned [position size] by top traders in Jack Schwager top trader books King Solomon put gold on his horse stable, probably not greed; if i paved my shorter than average driveway with pure gold , most would scream/call it greed.Not so, HEAVEN streets are PAVED WITH SOLID GOLD . Also Rabbit, i remember when gas was 00. 29/9 per gallon[long term trend/LOL]; so gas or oil is very cheap[NOW], sure it could go down another 50%, but not likely. sincerely, murray TT
Murray t turtle â It appears we have the same memory of cheap gas. I also remember in high school when they could not give gas away at $0.299 a gallon on hot spring day in the1960s LOL. A buddy and I were going to fill up a big storage tank he had so we could drive the chicks on endless cruises on our newly found source cheap gas. Ahhhh⦠what a pipe dream. To me, oil that is cheap or high is not part of my trading. I only trade the technical set ups that are in my plan.
================= RabbitOne; Investors Businesss Daily had an interesting article in energy etfs; accessed thru yahoo.com, quote on XLE recently . They made a good case for shorting XLE based on technicals & fundamentals. Did it on one year price & volume chart . And Mr Buffet's buys or multiple buys of COP , is not necessarily bullish for XLE, he tends to do better than average. COP making higher lows, higher closes on a 1 year chart, since 11-21-08 is not really a stock tip or prediction .
Traded as low as 28.84 today. That is the lowest that the USO has traded with the exception of 27.73 on Dec. 26th. Still seeing an outrageous spread between Feb/March crude . . . now +$8.00 :eek:
That is the scary part of going long right now. USO owns the March contract, but I think we have to wait until the contract rolls and see what March contract does before getting long. I played UCO last month and didn't realize how bad the contango would be to these ETF's. I don't think most people even realize what they are trading when they buy them.
I hope no one is surprised when oil gets down to $25 a barrel, remember $100 oil isnt coming back for years and $200 oil probably never. The oil bubble was nothing but media driven hype, anyone who thinks peak oil drove oil to $150 is a fool. There isnt any demand for oil and wont be in many years due to the deepest recession EVER to touch the economy.
This is exactly what I'm worried about. USO isn't an ETF holding crude oil, they're buying future contracts. Where they make a loss on even when oil goes up.