I bought a boat load of FRO near the close. I playing the am earnings announcement. Last quarter, they returned to profitability and increased their divi pay out. Sector is out of favor, but FRO and TNK both reported strong sales last quarter and both increased divi payout. I am watching CVRR ; I think they will cut the dividend again this quarter. I want to buy it on the sell off.
Oil will balance the market. The API report was favorable for oil bulls. Big jump after hours. However, the EIA due tomorrow. They usually don't match.
Phil, if they miss the 10k dead line, you can lose an arm. Options may be the way to go, it limits your loss.
The short oil etf DWTI is now trading on another level. The market goes down when oil goes down. This is not a positive factor for a bull case.
The move up intra day on the SPY into the 50sma occurred when the DWTI pulled back to the 20sma. It could be a head fake or trap. We need to see what happens here.
207.84, usually when it hovers in between support or resistance it breaks in direction of the pattern. In this case it would be a bear flag pattern. I got 206.45 for next level. If this should happen the VXX will get hot. The VXX don't get hot until there is fear.
Maybe you should wait and keep some powder dry. The SPY is consolidating right below a major support if it confirms down all hell will break loose.
The market may sell off when the UUP goes up to tag the 50sma on the daily chart that is what I am betting on. I will play commodity related stocks after that brief shock. I hope oil traders put a $45 cap on oil and give us a trading range. If they don't, shale producers will ramp back up and flood the market with more oil.
The weekly chart of the US dollar etf UUP is showing a developing bear trend. The 20sma (24.84) on the weekly chart coincides with the 50sma (24.87) on the daily chart. There is a high probability that the UUP will turn down when it hit or pierce those numbers.The UUP seem to be gravitating towards the 200sma on the weekly chart, but the pattern target suggest a move to 22.53. This means it might drop fast and hard with enough velocity to pierce the 200sma. This is in line with phase three of the business cycle where economic activity off set the demand and supply of commodities. A weaker dollar may fuel a bull market in commodity related stocks which will support the market and take it to new highs.
The last time I saw the DWTI close below an intraday support and then reclaim it, it gaped up the next trading day. However, to answer your question, the trend has not reversed yet. I need to see the DWTI break and close above the pending resistance or level.
The IWM Russel etf is up .75 cents. The IWM daily chart is considered very bullish with it consolidating right above the 200sma. This is a very high percentage bullish set up.
Good move, bio tech and oil seem to be taking turns. When one go up the other one go down and vice versa. They not letting them drop together.
Sorry, this falls under context clues for a trend reversal, something traders need to be aware of. Oil was also down after hour. Lets see how they prompt the market up tomorrow.