Thursday, May 30, 2013

Crude Oil Bounces Back

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WTI crude oil rallied back this morning after the EIA weekly inventory report   @ 11a.m. nearly $2 in 45 minutes.

West Texas Intermediate crude climbed from a four-week low and the dollar tumbled against the euro as worse-than-expected economic data spurred speculation that the Federal Reserve would maintain stimulus measures. read

ITZ has been highlighting a possible complex Inverted H&S right shoulder setting up link

A famous oil trader is warning the shale revolution will only "temporarily" boost oil production while prices will remain high. David Greenberg, Greenberg Capital president and founder, disagrees and explains why he believes the United States will "get this right" and find cheaper ways to extract the oil.

Thursday, May 23, 2013

Current WTI Crude Oil Observations

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WTI Crude tested it's 200ma today and again rallied above the 50ma. ITZ via Twitter & on this blog suggested entering a 1/2 position via Proshares UCO @ $28.25 ($28.30 stop). The ETF closed today @ $29.21.
ITZ highlighted a possible right shoulder developing on an Inverted Head & Shoulders pattern, with the Neckline being the daily resistance around the $97 level.
Use a trailing stop on your position, crude should continue higher, but ITZ is cautious here, noting a Negative Divergence, again run a trailing stop & let the market take you out.

Friday, May 17, 2013

Indexes At Extreme Levels Above 200 MA's

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How long have we've been hearing that the markets are due for a correction now? Granted it seems as if nothing can bring this market down...but something to consider, the S&P500 & Nasdaq daily charts relative to their respective 200 day moving averages, do suggest could see a pullback at any time. Now what will be the catalyst is another question?

*Note from Sept 2010 to May 2011 $SPX gained 30%. From Oct 2011 to April 2012 +32%. Now from December 2012 we need to see $SPX 1755 for +30%  the index would need to rise 88 points from today's close. Also to get a 15%+  the 200ma would be at 1500.

Friday, May 10, 2013

Can WTI Crude Oil Reach $102 By Memorial Day?

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Follow-up to this mornings post on WTI Crude Oil.

Watch $GASO chart now through Memorial Day LINK

Click on charts to expand images

Crude Oil's Next Move

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WTI Crude Oil is selling off, ITZ has 2 charts today an 8-hour with an Inverted Head & Shoulders pattern. We're seeing a throwback to the neckline as well as testing support on an ascending channel. A break above $97 could see a Measured Move to $102. However if the IH&S is negated we could see further selling, possibly to $89/$90 testing the support level on the Daily as well as weekly Pennant. Itz is currently in cash on the Proshares UCO & SCO trade. Looking to hear what Chairman Bernanke has to say & the U.S. Dollar's move. Follow on Twitter

Wednesday, May 1, 2013

WTI Crude Oil Sells Off: UCO

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WTI Crude Oil is selling off this week, API reported 5 million-barrel rise in crude supply LINK

EIA reported  a build of 6.7 million bbl  LINK

$GASO $UCO weekly chart seems to be making a similar bottom to that of last year May/June period Chart

One could trade $SCO here shorting crude, but be nimble. ITZ is looking to re-enter $UCO very soon.

click on chart to expand image