H&S In Oil. Still shorting.

FX:USOIL   CFDs on Crude Oil (WTI)
394 7 2
At the moment, we're sitting at important support at 29.60. Below 29.50, we will have confirmation of the H&S pattern and should swiftly move lower. I've been sitting short and will continue to do so. with a target at 27.50.
Comment: Yesterday's "Golidlocks" API report - not too much larger than expectations, but still a sizable build (>+2mmbb), coupled with crude's overnight price action gives me comfort that short-sellers won't be coming out en mass similar to the prior two reports. We'll still need to wait to see what the EIA reports at 10:30am today, but the moves this morning in crude make me believe Janet's lack of über-dovishness is weighing more heavily on traders minds'. Last night, I saw a breakdown in an ascending triangle forming on the 30min chart and opened some weekly 25 puts. ( I'm looking for new lows.
It's always a good idea to keep the big picture in mind.

If we were to see another bounce off the 29.00 level, akin to the prior rebound, we'd expect this move to top out below 40.00.
Hi, Simon, recently, every week after API and EIA published, the OIL would rebound, however the data was bearish. Do you think this will happen in the next weeks ?
This has been a key and very profitable pattern, as of late. I'm not seeing anything in the CFTC Commitment of Traders Report that suggests this should/shouldn't repeat. Last week, we did see a massive redemption (~$600m) in a triple levered short oil ETF. That could have reduced the number of less aggressive shorts that would be looking to cover on another massive build. All that said, I think you need to remain cognizant of the pattern and adjust based on what the price action reveals. So far, the PA is showing us there are quite a lot of buyers in the 29s. If we can't break below 29.00 on a larger than expected build, we'll probably see the pattern repeat.
As the IEA monthly reported, the oil will still oversupply, and the OPEC wonn't reduct supply, which indicate we can still short the OIL. But I notice that the Saudi will join the Syria war, if that indicate Saudi cann't bear the low price of OIL ?
Saudi isn't getting involved in Syria because of oil issues, they're getting involved becaus