Is that a bull kiss in your pocket . . . ?Or are you about to crash and burn into the ground?
Price momentum oscillator (PMO) is the lowest it's been since January 2016. PMO crossed above the signal line Dec. 3, but
For the uninitiated, the bull kiss is the strong confirmation signal to follow when the PMO crosses above the signal line. The PMO will look like it's going to sputter out and drop like a rock, either converging on or even "kissing" the signal line before it gets a second wind and bounces upward. So is it a bull kiss? Unfortunately, I don't think so.
Here are three prior bull kisses on DNR:
Note that these PMOs have a steeper grade with more upward movement. The current PMO looks too flat for me to wager that it will bounce up from here. I'm done trying to catch the falling knife here. This is way oversold, but the selling pressure won't subside until oil finds a bottom and overall market volatility settles down. However, if the PMO can stay above the signal line today, that would make tomorrow and next week very interesting.
