LONG USOExpecting bounce from extremely oversold weekly and daily levels. If stop breached, be prepared to catch new daily reversal on lower levels with a tight stop.
USO trade ideas
USO long Its hitting A VERY strong support zone with a mac-d crossover and oversold. if it does not break trend buy.
Will support hold? BULLISHvery important level right here, this can be the beginning for some upside this week.
*not financial adviser
High potential profits awaiting for youMany new traders , even some experienced ones still make the cardinal sins of trading. They are eager to find out the holy grail of trading, believing it is the next indicator in town - the more sophisticated , the better it is.
Sorry, let me let the cat out of the bag. If you are the one selling the indicators, no matter what the price tag is, does it not tell you that you can make much more money selling it than to use it to make money for yourself ?
It is also not about being able to spot the right trading opportunity as in catching the lowest of low and highest of high. This timing of the market can be a hair pulling exercise.
Like in this case, for now , it appears that the bottom is in. I mean, it is already below 4, how far lower can it gets ? See example here . See how many times it breaks out from the bearish trend line only to return below it not once but several times.
That is my point - Say it goes to 1 dollar and you long 5.37, your paper loss is 4.37 for 1 contract.
Can you afford to lose that ? If yes, read on. Alternatively, if this is indeed the bottom (which we will know much later) and the price shoots up to 8.50, then you are in 3 dollars profit.
But, if you want to hold this for a much longer term and the price enjoys a nice bull run to say 11 dollars (conservatively), then your risk is only 4.47 vs a potential gain of 6 dollars.
As such, such kind of trade opportunity when it present to you, you must grab it as the risk is low and the rewards are much higher.
Over time, if you can spot 1 -2 of such trading opportunities in a month or so, you are going to make some good profits.
Hope this explanation helps in planning your trades.
USO RecoveryInverted H&S forming with following supporting evidence of recovery:
- Increasing volume at the apex on the right shoulder. This was when OPEC+ announced cuts to production. Scared sellers took advantage of the pump to $5.8 to unload, but momentum has stayed strong.
- This past week has seen the first strong flip from sellers to buyers being in control since the drop started in early January.
- RSI has been diverging since the start of the inverted H&S pattern.
- We have now crossed the middle BB line and we will likely start following upper BB line up.
Rising Channel forming USO BULLISHUSO establishing the higher low on the hourly and the the weekly. Next week should be a good week.
*Not financial adviser
uso longentered long position based on 123 rule, break out down trend and former high at 5.19
entered at 5.23
stop loss 5.15
target 5.45, 6.0
Blood OilI think by end of day we will see a decent decline in oil. USO will test 4.5 by EOD as nerves grow on a OPEC deal. I don't believe a favorable deal will be achieved between Saudi, Russia, & US on Thursday, which fill further plummet oil. Saudi & Russia are looking to claw back market share from the US and want to see US shale belly up.
$USO Sits at the Crossroads Into Thursday's OPEC MeetingUSO is pinned in a zone that equates to $30 and $20 in WTI Crude Oil futures as we approach Thursday's emergency OPEC meeting -- if it even happens. The Russians and Saudis need the US to find some way to participate in production cuts. Otherwise, that $20 level will likely be back under pressure.
$USO Enters the Week on Dangerous Levels of HopeUSO has been beset by terrible obstacles as the OPEC-plus structure breaks down, and Russia and Saudi Arabia look for ways to get the US into the global oil policy fold.
The "Bounce of Hope" is up against tough odds here, and the COVID-19 lockdown theme continues to destroy demand. Be wary of hope.
USO (oil) is gonna start recovering very soon. Time for longsUSO
USOIL
I expect great recovery as OPEC have to agree on terms of flow and price of oil.
It's great investment now with minimum leverage (max 1:5)
Invest/Trade with proper risk management.
UNITED STATES ETF OIL FUNDS LP 1W / 4H LONG ENTRYOil has been dropping.
When price hits bottom and reverses great long opportunity for years.
ETF market is easier to enter to give you exposure to trading crude oil without the margin requirements.
EFC Indicator showed an Entry Signal.
EFC Indicator shows a 1 to 1, 1 to 5 and 1 to 10 risk reward ratio.
Find your won SL
Long OIL. January 2021.- The MACD is showing a pretty decent buy signal
- USO hasn't wanted to cross over the $4 mark for 2 weeks now, could be possible support
I'm bias because I opened a position but how much further could it really go? Even with overproduction and limited storage. The ones losing the most money in this crash are the ones controlling the prices. Next year should give plenty of time for oil to recover.
Thanks for reading.
USO 3/31 - UNITED STATES OIL FUND LP UNITSUSO 3/31 - UNITED STATES OIL FUND LP UNITS
AMEX:USO
Potential to grow again to $10.05 (3/4). Price very Cheap and hold it. We're going to start seen grow and profit at soon the coronavirus disappear.
Different between: 10.05 - 4.23 = $5.82 per share
Excellent Profit!!!
