Big set up for oil! Is oil headed to new highs!?When charting oil it becomes very clear that the symmetrical triangle has formed. I have been saying this all year long. I expect big moves in both directions in the markets as volatility continues its treacherous path. Let us see how this huge pattern plays out. Patterns that are produced over longer periods of time tend to bare more weight and strength in their moves. ENJOY!
DRIP
VIX Fibonacci Target LongI think we are still in a general uptrend in the RSI, and on the weekly chart for the VIX. Next target ~$40 after consolidating for no more than a week or two. I estimate we hit $40 by February 1st at the latest.
Based on this analysis, I go long on $DRIP to next fibonacci target of ~$33, setting trailing stop there with 5% maximum price offset.
I think in the long run, we could see $VIX and $DRIP go higher than ~$40 and ~$33 respectively, but these are my short term price targets.
With no good news in sight, and with 90 day moratorium for US/China trade talks set to end in March, I see S&P going much lower in the meantime; even with robust economic news.
Like Trump said himself, Fed must raise interest rates as “insurance” for future bear markets. I think overall we are still in a bull market, but for the short-term (up to 6 months); we are in a bearish correction.
Please do not take this as investment advice, and practice your own due diligence.
USOIL Trend AnalysisIt would appear that the intermediate term trend is going through an ABC correction.
Supply Zone exists in the $53.50-$57 range
Long Term Price Support exists at $54
50% Fibonacci retracement exists at $54
Measured Move exists at $55
Channel Resistance exists at $62
Long(er) Term Price Resistance exists at $63
Short Term trend bearish
I'll go long when I hear "NEW BEAR MARKET FOR OIL?" on the news
Second Big wave is here.. low tide still late Jan.Ok this is a quick summary of today's trade.. I will update today and over weekend and include Timecycle Chart which this trade is linked to.. This is my daily tracking chart.
We added 20% Short @ 51.28 , will add more if we fail the trend again or collapses below 50.7x.
Manuel stops about 53.
Trade safe! Make money