I don't often look at ETFs, but I find USO to be very interesting right now. This ETF, United States Oil, closely tracks the price of crude oil in New York.
This market appears to have completed a formation that could have great profit opportunities in the near term.
Video link on next page
In my new video, I explain in detail a strategy that I am using to approach this market. As always, our videos are registration free and come with our compliments.
Please feel free to comment on our blog about your experiences and thoughts on USO and the crude oil market.
All the best,
3 thoughts on “USO & Crude Oil On The Move”
The problem with the USO etf is that it loses value every time it rolls its positions in a contango market. If you'll notice the chart, the USO etf has remained flat for the past two months. However, the price of crude is up almost 50%. In other words, we could very well be in a bull market for commodities including oil, but this does not mean that the USO etf would be a great play. Should the market flip to backwardation then the USO etf would become a great play as the fund would gain value as it rolled contracts.
Great observation. As you may remember I'm not a big fan of ETFs. I would rather trade the underlying market in this case crude oil.
Thank you for your feedback and all the best you.
i dont know if there is oil prices so high there is no way do survive to many countries of the wrld as we suffer a lot with 20 dollar oil prices in thrid world countries
how you can let price go down unless you supress the labours with out decline in oil price cost in our economy it is obviously let world economy grow slower even after so many effort you took lately our goal will reach a minimum level and world conflict we can see continously survive and newly devlop countries will have not easy go way to the
poverty elevations and comfortable life styles in coming years
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