I expect the oil price can find a reversal from here. The demand for oil will improve as the global economy starts to improve on the backdrop of lower interest rate levels. This is my outlook for the next 12-month hold period.
UCO popped in April and then dropped into a consolidation in May and June where
it set up a base shown by the POC line on the volume profile. Once over the POC
on July 6th on the daily chart coinciding with a golden cross on the HMA 56/210
combination the bull trend began. The dual time frame RS lines in the 60s suggest
more to come. I am trading UCO and...
Crude Oil has been in Wave 2 since June of last year, which is a corrective wave that typically follows a five-wave impulsive move. During this time, prices have been consolidating in a range, forming a base for the next impulsive move to the upside. Recently, Crude Oil bottomed out during the middle of March, confirming the end of Wave 2 and the start of Wave 3....
Looking for reversal upon the 0.618 or 0.786 zone, this chart is right in line with USOIL, unlike GUSH, which is lagging well behind USOIL. Building a solid bottom along the 0.618 level. If USOIL moves lower to the $72.00 range, we could see a prime entry at the 0.786 level on UCO of around $20.90.
DYOR
Notes:
* Strong up trend due to macro situations
* Printed a Pocket Pivot as it bounced off of broken resistance
* Looks good on multiple time frames
Technicals:
Sector: Exchange Traded Fund
Relative Strength vs. Sector: 3.02
Relative Strength vs. SP500: 4.05
U/D Ratio: 1.62
Base Depth: 56.08%
Distance from breakout buy point: 4.42%
Volume 37.69% above its 15...
here is on of the reason why i am shorting $UCO at 180 , first of all ..... look at the graph ...uco had been trying to go over high 180 's 4 times and failed every single time , i think this time we are moving lower down to 150
I see a good shorting opportunity in the future around late Jan to mid Feb.
I'm waiting for similar overbought conditions of the indications as circled and a break of the wedge.
Other things too look for is a break of supertrend and movement under hull.
200 day moving average (light pink line) should be strong resistance if it can breakout above the orange...
Hello from Genesis Go!
As we can see here crude oil UCO recently fell 37% onto a strong trend-line support presenting us with a great buying opportunity!
Bought shares & calls on this immediately after the explosions in Afghanistan. 3 hrs later Ida was upgraded in the Gulf. And that's just tip of the iceberg with what crude prices face currently. Holding this position through the weekend. Was temped to roll into SPY puts, but OIL the better setup right now...
Hope you enjoy this brief overview of the UCO Chart as we look to further levels of resistance and support. We are above both the 50 and 200 MA so well within our parameters for upside.
We have a clean break of the resistance at $51 for UCO and now look for the next level, which is a long way off at $117 range. But we will hold as long as oil production has stopped in Texas and the pipeline system is off-line temporarily.
Finally after sitting on UCO for months we are at the resistance level of 38.xx if we can break past this our next target is 51.xx range.
Sitting on a few shares of this always is a long shot but a good chance to get back into oil.
UCO is at the top of it’s 4 month downward trend channel. That’s a good spot for a short entry on a crude oil etf. My 12/24 target is $21. US crude oil inventories rose 4.6 million barrels last week, missing expectations for a draw of 900k barrels. US coronavirus cases hit another new daily high record today with 140,543 reported. Renewable energy is where to be...
