My last chart showed how GLD was so far ahead of OIH when it was peaking and over the past few years the price of GLD has come down and oil-related investments have been purchased. This makes sense in hindsight, especially.
However, now GLD has been sold down quite a bit and OIH (oil services stocks) have been purchased up to levels that seem unsustainable in...
The ratio (in light blue) between GLD and OIH is at the bottom end of the past 5 year's trading range and is turning up a little here. It could be the start of something and if it isn't, the risk is small.
Look for GLD to outperform OIH (Oil Service Stocks) for the next 3-6 months by 10-15%.
Tim
3:30PM EST Wednesday, May 14, 2014
The spread between the performance of OIH and SPY has been extreme for a couple of years now. OIH has gone nowhere now for 8 years, since 2006 and the SPY is up 48%.
The catalyst for this trade to unwind is simply the movement of funds away from the big-cap S&P500 stocks that have been lately making us all wonder how the market is staying up despite the big...
Oil Services has broken out on the weekly. Price is now above the
alley-gator blue line and the Awesome Oscillator is now showing a
green bar.with momentum now shifting.
My entry point would be 2 ticks above this past weeks high
or a retest of the Alley-gator blue line. Halliburton and Schulberge are also strong.
As the summer driving season approaches the...
OIH 36.98 last: 41 target, 34.50 stop.
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With a reversal in the price of crude oil there is finally an identifiable bottom in the price of oil service stocks. Look for an advance of 10% in the next 6 weeks. 2% declines can be a place to enter positions during the advance.
Note the regression channel trend down has been violated. ...
