ASX STO Oil Play LongFeb 12: 23.00 AEDT
Ok here is one for the oil bulls.
This stock has been beaten up recently,
but the falling wedge and solid volume support
at $3.60 and $3.90 suggests ST potential.
Weekly Support is rising underneath, but at $3.50+
Ok the Trade:
Buy now on the bullish gap bar at $3.90 SL $3.80 TP#1 $4.10 TP#2 $4.40
RR := 50/10
If it fails - re-enter at the bottom of the body gap/Weekly support.
Buy $3.60 SL $3.50 Tgt $4.40
Profit less our loss above RR 70/10
Tgt is the upper body gap during WTI push higher and the rising tide.
Warnings:
It has not broken downtrend;
There is a 13m short position overhang;
The body gap under;
Positives:
Oil and USD rising - good for the bottom line;
Bullish last 3 bars and its above the T-Line;
Indicators and BBs (not shown) are positive.
My position: Break out (fake) then pull back to lower gap
then rally - but it depends upon Oil, $US an the S&P500
:= Quick long, short, long
This is an opinion not a guarantee and
... just my 2c worth ...
