Receded back to (36,38) trading range after fading from SMA200 resistance above. Good to see difference between SMA50 and SMA200 narrow some; bullish indication. Still has more fundamental work to accomplish. Overall, still bearish. Potential targets near 36 and 34 (Red SMA50).
Because USO is a roll trade ETF you get a smoothed price without the rollover spike/drops you see in WTI. Look at the head and shoulders it has formed, Price target of 8.50 EDIT: Also note the falling RSI for the three peaks.
DESCRIPTION ON CHART..... PRICE IS GETTING READY TO CHOOSE ITS LAUNCH FROM THE BOX...
DESCRIPTION ON CHART..... WATCH LEVELS FOR RESPONSE.....
DESCRIPTION ON CHART....STUDY PRICE ACTION ....... WE GET PAID TO WAIT.
DESCRIPTION ON CHART..
Watch for that stoch rsi bear cross for the pullback
STALKING A "TREND LONG" NO OVERBALANCING ON THE INTERMEDIATE TREND YET...
PRICE SITS ON "POTENTIAL SUPPORT" THEN SHOWS Its hand through Price Action Manage.......
Long 9.66 -9.81 area. Tight stops if scalping. Rinse and repeat. Breach of 9.64 could be a ss trigger.
Seems like a good short on oil @ these point, lets see if the triangle pattern will brake
CRUDE is getting pulled up to higher "Price Flow areas....Price shouldn't take the low of the three bars back...if it does the trend is suspect.
Not sure if we have topped for wave 4, but if not I think we are close
Closing this synthetic long USO play here for a small profit. My timing was a bit off as to entry (I went long on the break of the 2009 low at 32.70), and we may have seen the short-term end of the up move here. Will consider reloading another synthetic long now that a new low of some kind has been put in ... .
Notice the horizontal RSI trend line, has been resistance since november, and it broke, so it's now support. If this support doesn't hold, which there's a chance it may not since it's overbought, the RSI will reach the diagonal RSI bull trend. This one has a very high probability of holding because it matches the price action's up trend.
A 5 waves impulsive up movement seems to have been completed on the raito of XOP/XLE. A pullback is expected soon. A break above 0.49 would invalidate this view.
WE ARE ENTERING "TIME AND PRICE " IN A POTENTIAL REVERSAL ZONE.