WTI Crude Oil - Running and Gunning
Updated
All of the fundamentals in the world tell everyone that because of mankind's insatiable requirement for oil to fuel its transportation network and electricity generation, supply and demand should result in a new all time high.
This is correct.
However, before this happens, the condition to be cleared first is that many unpleasant things will happen in the market and in the world.
Oil is about to take bulls and bears both for a ride with a run to $108~. The bears will say it shouldn't be happening, while the bulls will say that of course, oil is heading to $180, $350! and nobody can stop it.
After it takes a few heads it will begin to seek for new lows. $86 is the first stop. When I initially began to foresee this move in the last two months, I had assumed that this would come faster. However, with lows at $90, $93, and $92 in recent weeks, and the huge amount of volume being sold between $100 and $125, $86 is bound to be merely the first stop.
$80 will come next. It may come after some more chop and bucking, and it may just be bearish and run straight towards $74.
Be forewarned, before you mortgage grandma's couch to take a leveraged long on the nearest discount brokerage, numbers like $60 are probably enroute before we see any kind of bull activity.
But after everyone has capitulated, watch out. Oil is going to be expensive. Gasoline is going to be unaffordable. And the western Communist Party that runs our governments is going to install lockdown fuel rationing (Don't believe? Google: Sri Lanka QR Code Fuel Rationing, Ireland Oil Shortage Wargame).
Frankly speaking, I see Natural Gas hurting everyone's feelings under $5 before it turns around and runs to $18 near the end of the year. Never forget how cheap natural gas is is in North America and how expensive it currently is in Europe.
Going short at $108 with a stop of $111 and a target of $86 gives you an RR of 7.77. The perfect kind of number for cowboys, who love casinos.
What I want to tell you with this trade call is that when oil is dumping and everything seems hopeless, people who are good at detecting opportunities will realize they can find a glimmer of yield by investing in energy companies.
However.
And this is a big however.
You'll have to find energy companies who do not have links to China and the Chinese Communist Party. Those companies will be wiped out as the CCP is embroiled in scandals and targeted by the International Rules Based Order as the western regime makes a powerplay to depose and/or cuckold Xi Jinping in the coming months.
What I also want to tell you with this call is that the Party is over in this world, and it isn't coming back. This old paradigm you are used to of mashing the buy button in huge sizes of risk on anything listed on Nasdaq and making all time high after all time high before going and getting wasted at the bar every night and hiring call girls is over.
It's over, and it's never coming back. It's time to sober up. Now.
This new paradigm is a bear market. Have you traded a bear market before? Have you traded a choppy market before? A seek and destroy market before?
These types of markets are nothing like how getting long on the S&P and the Nasdaq have been. You will buy a dip and it will keep dipping and not come back. You will short a bump and it will be green for a day and then you'll get margin called in the morning and have to tell your wife you lost the last of your rice money.
For many, it would be better if you withdrew your coins, bought some gold , bought your wife something nice, and started to prepare to practice cultivation and return to tradition.
"What goes up, must come down" is a fundamental law of the Universe and part of how matter moves. Failing to respect it is the same as failing to respect an oncoming train.
This is correct.
However, before this happens, the condition to be cleared first is that many unpleasant things will happen in the market and in the world.
Oil is about to take bulls and bears both for a ride with a run to $108~. The bears will say it shouldn't be happening, while the bulls will say that of course, oil is heading to $180, $350! and nobody can stop it.
After it takes a few heads it will begin to seek for new lows. $86 is the first stop. When I initially began to foresee this move in the last two months, I had assumed that this would come faster. However, with lows at $90, $93, and $92 in recent weeks, and the huge amount of volume being sold between $100 and $125, $86 is bound to be merely the first stop.
$80 will come next. It may come after some more chop and bucking, and it may just be bearish and run straight towards $74.
Be forewarned, before you mortgage grandma's couch to take a leveraged long on the nearest discount brokerage, numbers like $60 are probably enroute before we see any kind of bull activity.
But after everyone has capitulated, watch out. Oil is going to be expensive. Gasoline is going to be unaffordable. And the western Communist Party that runs our governments is going to install lockdown fuel rationing (Don't believe? Google: Sri Lanka QR Code Fuel Rationing, Ireland Oil Shortage Wargame).
Frankly speaking, I see Natural Gas hurting everyone's feelings under $5 before it turns around and runs to $18 near the end of the year. Never forget how cheap natural gas is is in North America and how expensive it currently is in Europe.
Going short at $108 with a stop of $111 and a target of $86 gives you an RR of 7.77. The perfect kind of number for cowboys, who love casinos.
What I want to tell you with this trade call is that when oil is dumping and everything seems hopeless, people who are good at detecting opportunities will realize they can find a glimmer of yield by investing in energy companies.
However.
And this is a big however.
You'll have to find energy companies who do not have links to China and the Chinese Communist Party. Those companies will be wiped out as the CCP is embroiled in scandals and targeted by the International Rules Based Order as the western regime makes a powerplay to depose and/or cuckold Xi Jinping in the coming months.
What I also want to tell you with this call is that the Party is over in this world, and it isn't coming back. This old paradigm you are used to of mashing the buy button in huge sizes of risk on anything listed on Nasdaq and making all time high after all time high before going and getting wasted at the bar every night and hiring call girls is over.
It's over, and it's never coming back. It's time to sober up. Now.
This new paradigm is a bear market. Have you traded a bear market before? Have you traded a choppy market before? A seek and destroy market before?
These types of markets are nothing like how getting long on the S&P and the Nasdaq have been. You will buy a dip and it will keep dipping and not come back. You will short a bump and it will be green for a day and then you'll get margin called in the morning and have to tell your wife you lost the last of your rice money.
For many, it would be better if you withdrew your coins, bought some gold , bought your wife something nice, and started to prepare to practice cultivation and return to tradition.
"What goes up, must come down" is a fundamental law of the Universe and part of how matter moves. Failing to respect it is the same as failing to respect an oncoming train.
Note
Step 1 achieved. I really thought there would be a bounce here that would take out more than $91, but every bounce was really impotent. I gander we'll see the other two steps coming shortly.
Note
Oil looks like it will quickly seek target two and three, and maybe more.The more bullish oil should fundamentally be, the more it's going to wreck longs before it goes to $180.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.