Thursday, July 19, 2012

Crude Oil Break Out

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WTI Crude Oil has broken out on an Inverted Head & Shoulders pattern. News out of the Middle East, geopolitical tensions are driving it higher. Near term some indicators are overbought & we could see a pullback, which should be bought. ITZ prefers using the Proshares ETFs both UCO (long) & SCO (short) to trade crudes movement.

Past ITZ Oil Post

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1 comment:

itzstockchartz said...

Update: On 7/19 ITZ noted 'reducing' long exposure to crude oil. UCO was trading around $32.75. ITZ reduced exposure by selling 1/2 position against may 9th & May 23rd entries. cost basis $34.35. Taking a $2.00 loss. Current position from 5/31 $29.25 & 6/1 $27.40 = avg $28.35. Lets place a $29 stop. ITZ was looking for a IHS throwback to the neckline on WTI oil around $89. However the Gold:Oil ratio chart is giving a SELL .... lets give it a few more days...we could be seeing a similar pattern to that of Mar-May 2011.