Hello fellow traders everywhere! Adam Hewison here, co-founder of MarketClub with a SPECIAL REPORT ON CRUDE OIL for Thursday the 16th of February.
TRADING TIP: DON'T FIGHT THE MARKET … MOVE WITH THE MARKET
The New Bull Market --- it's OIL!!
Today we will use our Trade Triangle Technology and figure out Oil's next big move.
CRUDE OIL (APRIL CONTRACT)
BIG PICTURE: Strong Trend +100
TRADE TRIANGLES: Long-Term = Bullish | Intermediate Term = Bullish | Short-Term = Bullish
MARKETCLUB SCORING: Trading Range (50 to 65) : Emerging Trend (70 to 80) : Strong Trend (85 to 100)
It appears as though the crude oil market is coiling up and getting ready to spring upwards. Here are my 3 main reasons for being bullish on crude oil.
# 1: All our Trade Triangles are green indicating that a very strong trend is in place.
# 2: Crude Oil tends to make major lows every eight or nine months (last major low in October) look at the weekly chart on the video and I'll show you this.
# 3: The Crude Oil market tends to make a major high every 11 or 12 months.
Presently we are about 6 to 7 weeks away from making a major high in Crude. This cyclic pattern, if it persists, should push Crude up and into a new 6 week high in late March or early April. A move and close on Friday over $103.38 should be viewed as very bullish for Crude Oil, indicating sharply higher levels to come in the weeks ahead.
DISCLAIMER: As with any market analysis there are no guarantees. Always use stops to protect capital and never trade with funds that you cannot afford to lose. With our monthly, weekly and daily Trade Triangles all in a positive mode, we expect to see further gains in Crude Oil.
Watch today’s SPECIAL REPORT Crude Oil Video Here.
Suggested Crude Oil Trading Instruments:
Non Leveraged ETF’s: (Long USO) (Short the ETF USO)
Leveraged ETF’s: (Long UCO) (Short DTO)
Futures & Options are available to trade this market. Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
I would like to hear your thoughts on Crude Oil. Please vote and if you wish leave a comment below.
Take care everyone,
President INO.com and co-founder of MarketClub.com
12 thoughts on “A Special Report on Crude Oil”
An attack by Israel on Iran nuclear facility and a break of 104 dollars a barrel happening at the same time, well let me tell ya, you will see black gold at 250 dollars a barrel!!!! and then some.
The thought of making more $$$ and selling less volumn of a commodity is too risky....Imagine buying at the peak and tumbling to the bottom and finding supplies are plentiful but there is no more capacity to hold it...I don't see the the good math in it.
Read the charts they have given a green light on this market.Many Traders that don't understand this market are going to limit their
profits skittishly buying and selling and not
letting their profits run.
I still can't believe how many people i know
trade stocks and never look at a chart,
They buy based on what Cramer says or someone
has a great tip for a stock to buy.UGH
Thanks market club!
If one has to subscribe to your subscription, do you recommend stocks to buy and when to sell or you just give technicall analysis.
Here's how we find and scan for trades using MarketClub
The Trade Triangle signals are produced by a triggering of our proprietary algorithm. The RED and GREEN triangles signify changes in trend on a monthly, weekly and daily level. The triangles are produced for all 230,000 symbols we track. Once the triangles are produced, they are never removed and are able to be backtested according to your own unique trading style.
MarketClub suggests a filtering approach when following the Trade Triangle signals. The filtering approach differs between security types and trading style.
The Trade Triangle algorithm is comprised of weighted factors that include, but are not limited to price change, percentage change, moving averages, and new highs/lows.
GREEN triangles suggest positive trends.
RED triangles suggest negative trends.
The Trade Triangle algorithm is not intended to catch tops and bottoms, but instead identifies the majority of a swing trend. By allowing the trend to mature before a triangle is issued, we can trust that the trend is more steady and stable.
Note: The triangles will always be produced regardless of trend strength. The triangles should be used when you have a significant trend strength. You can use the Trend Analysis Score or other technical analysis studies to ensure the trend strength is appropriate for trading. For example, if a market is in a sideways motion, the triangles will still be produced even though you may want to be on the sidelines for that particular market.
I can see crude oil reaching new highs if Keystone pipeline is on hold and fighting in the Middle East continues to escalate. God forbid if Israel attacks Iran in the near future.
Adam- why did UCO volume drop so drastically on Feb 25 2011? Do you have sny Mutual funds that you could recommend to capture this potential move as I have the ability to trade those in my 401(k), thanks.
Fidelity has a Mutual fund for gas, oil etc. it's symbol FNARX.
It does appear that oil is on the verge of a breakout.
However, I am wondering about how you can refer to the stock market's technical action as a new bull market when it appears possible that it may be just a bullish phase in an ongoing bear market inasmuch as I have always considered a bull market to last roughly 3 years, and it is conceivable to me that the stock market's bullish action could be aborted not only by crude oil going higher with $5 gasoline, and the other geopolitical events driving the crude oil higher. Also, the dollar could go much higher with the Eurozone troubles, and the report, if true, that Greece will announce their default after the market close on March 23, the US and world debt problems, market manipulation by the Fed and big money, misleading government reports on the labor and inflation statistics, etc. In other words I am still cautiously bearish.
I don't think this rally in the stock market can be labeled as a true bull market until the quality of the retest of the breakout levels and subsequent rally are assessed. In the meantime it may continue to climb a wall of worry to higher levels, but I prefer to sit it out.
In the meantime I like buying oil when it breaks above $104.
Comments are closed.