USO oil fund shortBreak and backtest from underside of long term uptrend suggests possible fall away lower now in a wave iii/c for at least 10% lower
USO trade ideas
Gaps to catch on the downsideUSO fund left some gap on the way up from 9$ levels... need to fill those .... Selling advised fr downside tgts...
USO finding support soon?uso breaking through its first bullish trendline, next support zone could be around 12.5 - 12.75.
Decision Time for USOWe are at the bottom of the channel, looking for some bounce here. Also having consecutive new highs while in the channel, further signaling the trend continuation.
OPENING: USO JULY/OCT 10/13/13/16 DOUBLE DIAGONAL... for a .77/contract credit.
Truth be told, I kind of hate USO, with XOP being my go-to for petro-based plays. That being said, with its high implied volatility rank (65) and its decent background volatility (31%), I figured I'd throw a "can't hurt much" trade on here as a demo trade for a "safety tape" setup.
The basic notion of a "safety tape" trade is to define your risk with longer-dated, cheap throwaway longs, while trading essentially naked inside the longs. This is particularly useful in cash secured/small account environments where being naked invokes a buying power reduction equal to the short put strike minus the credit received and/or where brokers generally prohibit naked short calls, with the workaround being to buy a cheap long call anyway to define the theoretically infinite risk that a naked short call entails. Alternatively, it's a way for people who fear the notion of full on naked from a risk standpoint to get some of the benefits that trading naked entails (i.e., fewer legs, quicker vol crush and/or theta decay, easier rolls) without "hanging all their junk out there." (No one wants to see that).
Here, the buying power effect is attributable to the widest wing of the setup (3.00), minus the credit received (.77) or 2.23, far less than you'd tie up trading the naked short straddle cash secured (basically, $1200, since the July 20th 13 short straddle is trading for about a 1.00 here).
I'll look to take profit on the short straddle at 25% max as I would if I were just trading it purely naked, and then sell another ATM short straddle, reusing the longs as many times as I can before they expire ... .
USO short term long callOil ETFs saw a sharp sell-off last week over concerns regarding Russia and Saudi Arabia. Given the support levels of the channel we have been trading in, I would like to see a bounce to the upside in the near future. Upcoming OPEC meeting on June 22 is a cause for caution in the energy sector, making volatility likely.
USO failedWrite sometning about your psyhology thinking before trade? It is suterday and I am relaxed so see no problem, I just fell my back again
Describe the trade. What you see? There will be a sell off in the USO what suggest the technical patterns and two supportd at 12.45 and bent, the problem could be only a contango.
Write why you want to enter the trade in this point? it is ideal point befor two support levels
USO topping?
If making A-B-C, Oil may have topped or topping very soon. Then the target is eventually making a new low with crude possibly going down to 25 area.
If making the larger degree iii, blue box area makes sense. Then the target area will be as marked.
Personally, I am leaning toward blue box area. Either way, I am beginning to short the energy complex this coming week.
USO LongUSO technicals showed a triangular consolidation which lead to positive continuation on the daily chart which is resulting in a continued reversal on the weekly chart from the previous downtrend. Trump helped oil by withdrawing from the Iran deal so this catalyst coupled with the technical charting should provide a fairly strong up trend.
USO broke out of the triangle upwards, revisited the average, and is now pushing upward in a strong manner leading to a close outside the daily band resulting in increased volatility.
$USO $QQQ $SPY Oil Driving Markets Up Further Here [short-term]Meant for intra-day purposes.
Oil is clearly propping markets. It seems to have bottomed for the time being. Bullish for a short-term play.
Oil two bullish confirmationsAMEX:USO MIL:CRUD AMEX:UCO AMEX:XLE
1) It has crossed the horizontal resistance
2) It has left the parallel chanel depicted below
USO - ShortSlight RSI & MACD divergence.
Small position to catch the down move to 50 MA and longer term TL support.
AMEX:USO
Wave pattern on the crudePossible downside move into the end of April, then the next left up into June
USO LongUSO long on reversion to mean (and reversal candle on 8 MA). Oil broke out past couple of days out of triangle consolidation, so USO should rally further for a while.
#USO #long #stockUSO symmetrical triangle breakout. I expect it retrace in an attempt to reclaim the trend line. However, breakout is textbook. I expect the stock to go higher over the next three months and much higher over the next several years.
