Short

USOIL: Rejection of Resistance

By BigCharts

Updated

51.91 Was rejected nicely, opening a short with TP $49

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Also the hourly is nicely setup for some downside

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s3.amazonaws.com/tradingview/snapshots/0/0TcD5S17.png

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Furthermore this is an area with great reistance as seen in the weekly, which is also exhausted.

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s3.amazonaws.com/tradingview/snapshots/b/bRZkxSI7.png

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Added to my short at $53.35

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Added to my short at $53.11

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Final add to my short at $53.05, SA's prince could fart and oil would pop. This is a joke. (excuse my language, but it suits the theatrical nature of this situation)

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Enter: Panic Selling

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s3.amazonaws.com/tradingview/snapshots/b/BpinaagH.png

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The Call to Put ratio has been hovering around all-time highs which leads me to speculate that as buying decreases (all longs are already bought in) there is no option but to book profits which will cause a chain reaction and with some help from sleeping bears to push oil to my initial target and slightly below. Thus, I will sell 50% of my position at 48.75 to avoid any troubles with the margin man and then then the rest at HCL.

*Note: I suspect the trigger has been pulled for the chain reaction due to the volume spike

BigCharts

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