Oil can't hold 46. Watch for retest below 45.
Oil hasn't been able to hold the ~46 level all week. Watch for a retest of the 45 support level later today.
Comment:
Comment:
I'm still sitting short, unchanged. This morning's spike above 47 had me concerned, especially with the 9am pit open follow through. Oil has fully abandoned its correlation with Euro, opting instead to track SPX. Given the NY ISM data, oil still is unable to hold a 47 handle. Coupled with a very over-bought SPX, gives me pause in closing out the short. Let's see how the day evolves.
Trade closed manually:
Decided to throw the towel in. Closed my puts at 47.80. Oil is tracking SPX and the momentum there is too great to stay short. Riding some calls up to 49 and will side on the sidelines afterwards.
Noon was capitulation!