Friday, June 26, 2009

Finding The Big Trades


In today’s video, we will be using MarketClub’s “Trade Triangle” technology to discover stocks that are potentially getting ready for big moves on the upside.

We will show you a quick and easy way to replicate these moves using using MarketClub’s tools for the trader. With just a few clicks of the mouse, you too will be able to spot these trades.

You can use MarketClub’s “Trade Triangle” signals for Stocks, Futures, Precious Metals, forex, ETFs and Mutual Funds. To the best of my knowledge there is no easier, faster way to find winning trades.

The video is free to watch and there is no need to register. I would love to get your feedback about this video so please feel free to leave a comment.

"Finding the Big Trades" Click Here To Watch

Oil Hints Short Term Low Might be In, Natural Gas Looks to go Lower


Crude oil closed lower due to profit taking on Friday and the low range close sets the stage for a steady to lower opening on Monday. Stochastics and the RSI have turned neutral hinting that a short term low might be in or is near.

Closes above last Friday's high crossing at 72.85 are needed to confirm that a short term low has been posted.

If August renews this week's decline, the 38% retracement level of this spring's rally crossing at 62.25 is the next downside target.

First resistance is today's high crossing at 71.29
Second resistance is last Friday's high crossing at 72.85

First support is Tuesday's low crossing at 66.37
Second support is the 38% retracement level at 62.25

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Natural gas closed higher due to short covering on Friday as it consolidated some of this week's decline. The high range close sets the stage for a steady to higher opening on Monday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If August extends this week's decline, the reaction low crossing at 3.71 is the next downside target. From a broad perspective, August needs to close above 4.82 or below 3.52 to confirm a breakout of this spring's trading range and point the direction of the next trending move.

First resistance is the 10 day moving average crossing at 4.17
Second resistance is the reaction high crossing at 4.57

First support is Wednesday's low crossing at 3.87
Second support is the reaction low crossing at 3.71

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The U.S. Dollar closed lower on Friday as it extends this month's trading range. The low range close sets the stage for a steady to lower opening on Monday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term. Closes above 81.97 or below 79.62 are needed to clear up near term direction in the market.

First resistance is the reaction high crossing at 81.97
Second resistance is the reaction high crossing at 83.69

First support is Wednesday's low crossing at 79.90
Second support is the reaction low crossing at 79.62

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Industry Gears Up For Drilling, Big Oil's Answer To Carbon Law


"Industry Gears Up for Drilling as Crude Rises"
After plunging to their lowest levels since 2003, NYMEX crude oil futures have rallied strongly during the first half of 2009 and appear set to move even higher, giving oil and gas companies the incentive to start drilling with renewed vigor. As the price of oil climbed steadily during 2008, passing the $100 mark and moving well beyond, predictions for even higher oil prices abounded. In fact, in May 2008, Goldman Sachs predicted that oil prices.....Complete Story

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"Crude Oil, Gasoline Fall After Savings Rate Gains, Stocks Drop"
Crude oil and gasoline fell after the government said the U.S. savings rate climbed to the highest level in more than 15 years, an indication that the economic recovery will be slow to gather strength. Energy futures dropped after the Commerce Department said that household savings increased to 6.9 percent, the highest since December 1993. Equities slipped as the data spurred speculation that the U.S. economy will continue to contract....."Complete Story"

Trade Crude in 90 Seconds Click Here

"Big Oil’ s Answer to Carbon Law May Be Fuel Imports"
America’s biggest oil companies will probably cope with U.S. carbon legislation by closing fuel plants, cutting capital spending and increasing imports. Under the Waxman-Markey climate bill that may be voted on today by the U.S. House, refiners would have to buy allowances for carbon dioxide spewed from their plants and from vehicles when motorists burn their fuel. Imports would need permits only for the latter, which ConocoPhillips.....Complete Story


Lower Dollar Sends Crude Higher, Above 20 DMA


Crude oil was higher overnight trading above the 20 day moving average crossing at 70.27 as it extended this week's rebound. Stochastics and the RSI are turning bullish signaling that sideways to higher prices are possible near term.

Closes above the 20 day moving average crossing at 70.32 are needed to confirm that a short term low has been posted.

If July renews Monday's decline, the 38% retracement of this spring's rally crossing at 62.25 is the next downside target.

Friday's Pivot point, our line in the sand is 69.82

First resistance is the overnight high crossing at 71.29.
Second resistance is the reaction high crossing at 73.90.

First support is Tuesday's low crossing at 66.37.
Second support is the 38% retracement level at 62.25.

Today’s Stock Market Club Trading Triangles

Natural gas was slightly higher due to short covering overnight as it extends Thursday's short covering bounce. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If July extends this week's decline, the reaction low crossing at 3.550 is the next downside target. Closes above the 10 day moving average crossing at 3.997 would temper the near term bearish outlook in the market.

The natural gas pivot point for Friday, 4.01

First resistance is the 20 day moving average crossing at 3.937
Second resistance is the 10 day moving average crossing at 3.997

First support is Wednesday's low crossing at 3.717
Second support is the reaction low crossing at 3.550

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Thursday, June 25, 2009

Oil Closes Higher on Nigeria Pipeline Attack News


Crude oil closed higher on Thursday as it extends this week's short covering rebound. The high range close sets the stage for a steady to higher opening on Friday.

Stochastics and the RSI are turning neutral hinting that a short term low might be in or is near. Closes above last Friday's high crossing at 72.85 are needed to confirm that a short term low has been posted.

If August renews this week's decline, the 38% retracement level of this spring's rally crossing at 62.25 is the next downside target.

First resistance is today's high crossing at 70.93
Second resistance is last Friday's high crossing at 72.85

First support is Tuesday's low crossing at 66.37
Second support is the 38% retracement level at 62.25

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Natural gas closed higher due to short covering on Thursday as it consolidated some of this week's decline. The mid range close sets the stage for a steady opening on Friday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If July extends this week's decline, the reaction low crossing at 3.550 is the next downside target. From a broad perspective, July needs to close above 4.721 or below 3.395 to confirm a breakout of this spring's trading range and point the direction of the next trending move.

First resistance is the 10 day moving average crossing at 3.99
Second resistance is last Tuesday's high crossing at 4.39

First support is Wednesday's low crossing at 3.72
Second support is the reaction low crossing at 3.56


Oil and Gas Surge, Natural Gas Trade Challenged, New California Oil Fields


"Oil and Gasoline Surge After Attack on Shell Pipeline in Nigeria"
Crude oil climbed above $70 and gasoline rose after militants attacked a Royal Dutch Shell Plc pipeline supplying an export terminal in Nigeria, Africa’s largest producer.
The Movement for the Emancipation of the Niger Delta, or MEND, said it attacked a pipeline supplying Shell’s Bonny terminal. Exxon Mobil Corp. shut a fluid catalytic cracker at the Baytown, Texas, refinery yesterday, a union official said. Valero Energy Corp. and Marathon.....Complete Story

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"Natural Gas Trade Challenged by Commodity Focus Shift"
In recent weeks, Wall Street has been shifting its energy focus from crude oil to natural gas as the price of the latter has become historically cheap. The first signs of global economic recovery spurred investors to jump on the energy and materials stocks. The logic was that any increase in economic activity would require an increase in demand for industrial-related commodities and energy and their prices would rise.....Complete Story

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"California’s Undiscovered Oil Fields Beckon Occidental’s Irani"
Occidental Petroleum Corp., the fourth-biggest U.S. oil producer by market value, is drilling exploratory wells in California in a bet that deposits there hold hundreds of millions of barrels of crude. Occidental is counting on prospects near Long Beach and in other parts of the state to drive “meaningful” reserves and output growth in the next decade, Chief Executive Officer Ray Irani said. The company will drill 20 exploratory wells this year.....Complete Story

Trade Crude in 90 Seconds Click Here

Crude Oil Higher On Short Covering


Crude oil was higher overnight due to short covering but remains below the 20 day moving average crossing at 70.02. Stochastics and the RSI remain neutral to bearish signaling that sideways to lower prices are possible near term.

If July extends this week's decline, the 38% retracement of this spring's rally crossing at 62.25 is the next downside target. Closes above the 10 day moving average crossing at 70.32 are needed to confirm that a short term low has been posted.

Thursday's pivot point, our line in the sand is 68.77

First resistance is the 20 day moving average crossing at 70.02
Second resistance is the 10 day moving average crossing at 70.32

First support is Tuesday's low crossing at 66.37
Second support is the 38% retracement level at 62.25

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Natural gas was slightly lower overnight as it extends Wednesday's decline. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If July extends this week's decline, the reaction low crossing at 3.550 is the next downside target. Closes above the 10 day moving average crossing at 3.987 would temper the near term bearish outlook in the market.

The natural gas pivot point for Thursday is 3.80

First resistance is the 20 day moving average crossing at 3.93
Second resistance is the 10 day moving average crossing at 3.99

First support is Wednesday's low crossing at 3.72
Second support is the reaction low crossing at 3.56


Wednesday, June 24, 2009

Renewed Dollar Strength Looks To Send Crude Oil Lower


Crude oil closed sharply lower on Wednesday as it consolidates below the 20 day moving average crossing at 68.85. The low range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If August extends this week's decline, the 25% retracement level of this spring's rally crossing at 66.29 is the next downside target. Closes above last Friday's high crossing at 72.85 are needed to confirm that a short term low has been posted.

First resistance is the 20 day moving average crossing at 69.86
Second resistance is the 10 day moving average crossing at 70.76

First support is Tuesday's low crossing at 66.37
Second support is the 25% retracement level at 66.29

Today’s Stock Market Club Trading Triangles

Natural gas closed lower on Tuesday as it extends last week's decline. The low range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term.

If July extends today's decline, the reaction low crossing at 3.550 is the next downside target. From a broad perspective, July needs to close above 4.721 or below 3.395 to confirm a breakout of this spring's trading range and point the direction of the next trending move.

First resistance is the 10 day moving average crossing at 4.01
Second resistance is last Tuesday's high crossing at 4.39

First support is today's low crossing at 3.72
Second support is the reaction low crossing at 3.56

Trade Crude in 90 Seconds Click Here

The U.S. Dollar closed higher due to short covering on Wednesday while extending this month's trading range. The high range close sets the stage for a steady to higher opening on Thursday.

Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term. Closes above 81.97 or below 79.62 are needed to clear up near term direction in the market.

First resistance is the reaction high crossing at 81.97
Second resistance is the reaction high crossing at 83.69

First support is today's low crossing at 79.90
Second support is the reaction low crossing at 79.62

Natural Gas Falls, More Rigs For Baker Hughes, Sinopec In Iraq


"Natural Gas Falls as U.S. Inventories Build in Mild Weather"
Natural gas futures fell for a fifth day in New York as a government report tomorrow may show that weak demand, prompted by mild weather and the recession, is pushing U.S. stockpiles toward a record high. Gas inventories probably increased 101 billion cubic feet last week, based on the median of 15 analyst estimates compiled by Bloomberg. The five year average increase for the week is 84 billion cubic feet. Storage levels rose to 2.557 trillion cubic feet.....Complete Story

"Is Rig Count About to Rebound? Scenarios for The Future"
Last week Baker Hughes reported that their rig count for active rigs in the United States increased by 23 rigs to 899 active rigs. While this count increased from the prior week, compared to a year ago, the rig count is down by over 1,000 rigs marking one of the worst downturns in the industry history. Our favorite chart shows the rig count for 2000-2009 compared to the rig count of 1973-1983. The similarities are stunning, but even more.....Complete Story

"Sinopec Buys Addax, Gains Reserves in Africa, Iraq’s Kurdistan"
China Petrochemical Corp. will gain reserves in Iraq’s Kurdistan and West Africa upon completing its C$8.3 billion ($7.2 billion) bid for Addax Petroleum Corp. The Chinese company, known as Sinopec Group, is the country’s second-biggest oil producer. It agreed to pay C$52.80 a share in cash for Addax, the Geneva-based company said in a statement yesterday. That’s 47 percent more than Addax’s closing price in Toronto on June 5.....Complete Story


Crude Oil Remains Below 20 Moving Average


Crude oil was lower overnight as it consolidates below the 20 day moving average crossing at 69.87. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If July extends this week's decline, the 38% retracement of this spring's rally crossing at 62.25 is the next downside target. Closes above the 10 day moving average crossing at 70.78 are needed to confirm that a short term low has been posted.

Wednesday's pivot point, our line in the sand is 68.17

First resistance is the 20 day moving average crossing at 69.87
Second resistance is the 10 day moving average crossing at 70.78

First support is Tuesday's low crossing at 66.37
Second support is the 38% retracement level at 62.25

Today’s Stock Market Club Trading Triangles

Natural gas was higher due to short covering overnight as it consolidates some of Tuesday's decline but remains below the 20 day moving average crossing at 3.948. Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term.

If July extends this week's decline, the reaction low crossing at 3.55 is the next downside target. Closes above the 10 day moving average crossing at 4.02 would temper the near term bearish outlook in the market.

The natural gas pivot point is 3.90 for Wednesday.

First resistance is the 20 day moving average crossing at 3.95
Second resistance is the 10 day moving average crossing at 4.02

First support is Tuesday's low crossing at 3.83
Second support is the reaction low crossing at 3.55

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Tuesday, June 23, 2009

Are Gas Prices Going To Plunge?

Fox Business talks to John Kingston, global director of oil at Platts. Kingston weighs in on what he sees for the future in gasoline prices.




Lower Dollar Sends Crude Higher


Crude oil closed up $1.88 at $67.38 a barrel today. Prices closed nearer the session high on a solid rebound from big losses Monday, and amid a sharply lower U.S. dollar today. Some chart damage was repaired today, but bulls have more work to do soon to suggest the June high can be taken out on the upside.

Trading Video:The #1 Predictor of Inflation or Deflation.

Natural gas closed down 4.9 cents at $4.022 today. Prices closed near mid range today. The key "outside markets" were bullish for natural gas futures today, as the U.S. stock indexes were firmer, and crude oil was solidly higher, while the U.S. dollar was sharply lower. Yet, natural gas was pressured any way, which is a bearish clue.

Real-time Forex Click Here


Oil and Gas Rise on Dollar Weakness, OPEC Wants $80 a Barrel


"Oil, Gasoline Rise as Dollar Drop Boosts Appeal of Commodities"
Crude oil rose more than $1 a barrel and gasoline climbed for the first time in five days as a weaker dollar bolstered the appeal of commodity futures as an alternative investment. Oil climbed as the U.S. currency slipped the most in a month against the euro on speculation that the Federal Reserve will temper expectations for an interest rate increase this year. An Energy Department report tomorrow is forecast to show that U.S. crude oil supplies fell.....Complete Story

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"OPEC Would Like Oil at $80 a Barrel for Investments"
The Organization of Petroleum Exporting Countries would like oil to reach a price level of $80 a barrel so that most investments in the industry can go ahead, OPEC President Jose Maria Botelho de Vasconcelos said Tuesday. "We would like to reach the $80 per barrel, so that investment could be met," he said during a press conference after meeting with European Union officials. He said the current level of between $60 a barrel.....Complete Story

Today’s Stock Market Club Trading Triangles

"Japan May End $1.5 Billion Venezuela Loan on Seizures"
Japan may cancel a planned $1.5 billion loan for Venezuela’s El Palito and Puerto La Cruz oil refineries after the South American nation seized Japanese company assets, said a person familiar with the situation. The Japan Bank for International Cooperation, or JBIC, is reviewing loans for the upgrades after Venezuela took over Japanese iron and chemicals assets and fell behind on payments to oil service contractors, according to the person, who declined to be identified because the review isn’t public.....Complete Story

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Bears Seem To Have The Near Term Advantage


Crude oil was lower in overnight trading as it extends Monday's decline below the 20 day moving average crossing at 69.54. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If crude oil extends this week's decline, the 38% retracement of this spring's rally crossing at 62.25 is the next downside target. Closes above the 10 day moving average crossing at 70.91 are needed to confirm that a short term low has been posted.

Tuesday's pivot point, our line in the sand is 68.05

First resistance is the 20 day moving average crossing at 69.54
Second resistance is the 10 day moving average crossing at 70.91

First support is the overnight low crossing at 66.37
Second support is the 38% retracement level at 62.25

Today’s Stock Market Club Trading Triangles

Natural gas was higher due to short covering overnight as it consolidates some of Monday's decline. Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term.

Closes below the 20 day moving average crossing at 3.938 would temper the near term friendly outlook in the market.

If July renews this month's rally, May's high crossing at 4.690 is the next upside target.

First resistance is last Tuesday's high crossing at 4.387
Second resistance is May's high crossing at 4.690

First support is Monday's low crossing at 3.860
Second support is the reaction low crossing at 3.550

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Monday, June 22, 2009

Crude Oil Falls, Lower Open Possible On Tuesday


Crude oil closed sharply lower on Monday and closed below the 20 day moving average crossing at 68.59 confirming that a short term top has been posted. The low range close sets the stage for a steady to lower opening on Tuesday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If July extends today's decline, the 25% retracement level of this spring's rally crossing at 65.56 is the next downside target. Closes above last Friday's high crossing at 72.30 are needed to confirm that a short term low has been posted.

First resistance is the 10 day moving average crossing at 70.60
Second resistance is last Friday's high crossing at 72.30

First support is today's low crossing at 66.25
Second support is the 25% retracement level at 65.56

Trade Crude in 90 Seconds Click Here

Natural gas closed lower on Monday as it extended last week's decline. The low range close sets the stage for a steady to lower opening on Tuesday. Stochastics and the RSI are turning bearish signaling that sideways to lower prices are possible near term.

If July extends today's decline, the reaction low crossing at 3.550 is the next downside target. From a broad perspective, July needs to close above 4.721 or below 3.395 to confirm a breakout of this spring's trading range and point the direction of the next trending move.

First resistance is last Tuesday's high crossing at 4.387
Second resistance is May's high crossing at 4.690

First support is today's low crossing at 3.860
Second support is the reaction low crossing at 3.550

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Oil and Gas Tumble on World Bank Report, More Rigs For Petrobras?


"Oil, Gasoline Tumble as World Bank Predicts a Deeper Recession"
Crude oil fell more than $2 and gasoline tumbled after the World Bank said the global recession will be deeper than forecast, bolstering concern that fuel consumption will remain depressed. Oil dropped as much as 4.7 percent after the bank projected the global economy will contract 2.9 percent this year, more than its previously forecast decrease of 1.7 percent. Prices also declined as the dollar strengthened, reducing the appeal of commodities as an alternative investment. “We’re lower because reality is asserting itself,”.....Complete Story

Today’s Stock Market Club Trading Triangles

"Petrobras to Reel in More Rigs for Offshore Santos Basin"
Brazilian state-run energy giant Petrobras (PBR) expects to bring up to four more drilling rigs to a prospect in the offshore Santos Basin in the second half of the year. The ultra-deepwater rigs will be used to "attack" areas in the subsalt region in the Santos Basin, Petrobras' Mario Carminatti told the local Estado news agency. The Santos Basin is home to the Tupi field, the Western Hemisphere's largest oil discovery in more than 30 years.....Complete Story

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"Oil’s Channel Break May Signal End to Rally"
Oil prices moved out of a so called ascending channel that started in April, signaling crude’s rally may falter. Crude oil for July delivery fell 2.6 percent to $69.55 a barrel on June 19, the biggest drop for the front-month contract in two weeks. It was the first close outside a channel that’s bounded intraday highs and lows during the last two months, Zug, Switzerland-based consultant Petromatrix GmbH said today. “The ascending channel was invalidated for the first time and this clearly need to be taken as a negative,” Petromatrix managing director Olivier Jakob said in a note to clients.....Complete Story

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Crude Oil Bears Seem To Have Near Term Advantage


Crude oil was lower overnight and is trading below the 20 day moving average crossing at 68.66. Stochastics and the RSI are bearish signaling that sideways to lower prices are possible near term.

Closes below the 20 day moving average crossing at 68.66 are needed to confirm that a short term top has been posted while opening the door for a larger degree decline into the end of June.

If July resumes this spring's rally, the 38% retracement of the 2008-2009 decline crossing at 82.38 is the next upside target.

Crude oil pivot point for Monday is 70.76

First resistance is the 10 day moving average crossing at 70.75
Second resistance is last Thursday's high crossing at 73.23

First support is the overnight low crossing at 67.89
Second support is the reaction low crossing at 64.95

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Natural gas was lower overnight as it extends last week's decline. Stochastics and the RSI are turning bearish signaling that sideways to lower prices are possible near term. Closes below the 20 day moving average crossing at 3.926 would temper the near term friendly outlook in the market.

If July renews this month's rally, May's high crossing at 4.690 is the next upside target.

Natural gas pivot point for Monday is 4.07

First resistance is last Tuesday's high crossing at 4.387
Second resistance is May's high crossing at 4.690

First support is the 10 day moving average crossing at 3.990
Second support is the 20 day moving average crossing at 3.926


Sunday, June 21, 2009

Could This Be Crude Oil's New Trading Range?

I couldn't resist posting this chart from one of my favorite swing traders Atilla and his blog xtrends. Atilla has become popular this year as a die hard bear, an unfair title as he is just a realistic trader that looks at long term trends. And yes it's true, we are still in a bear market.

Here is his current view on the trading range we are in for crude oil

Just click on the chart to enlarge.....




Crude Oil Trading Small Specs


If you haven't visited or subscribed to Rich Olney's "Crude Oil Trading Small Specs" site, it's time you did. Rich provides some of the best crude oil trading calls available, worth every bit of the small fee he charges.

Here is his weekend call for June 20th....

"Crude Oil Thoughts"

Oh so close to a sell signal on the daily but not yet. The daily is still on a buy. Every pull back has been a buy so is this time diff? If the FED stays the course, which I think they will, Crude should make new highs before the pull back happens that everyone is looking for. I will add more to this string later but the commercials increased their OI last week and reduced their net short position as well not bearish action by any means. Also the USO chart is misleading since it is the second derivative and we are in contango market use the futures contract..........(USO chart paints a diff picture).

I think we can get the big sell off many are looking for if the FED changes their bias statement to indicate a move away from quantitative easing (QE). The current US QE policy is the main reason for the oil rise and dollar weakness. So that is what oil traders will be looking for a change to the current QE policy in the Wednesday FED statement. If no change to QE policy then more of the same declining dollar and rising crude oil. So if you are shorting oil looking for an IT move down then you are betting that the FED will change their QE stance on Wednesday IMHO.

You can see on the chart below from the 2008 bull market that 38.2% and 50% retracements on the daily chart were par for the course and a buying opportunity every single time. Buying the pull backs at the the 38.2% and 50% retracements was the way to go till the trendline on the daily broke.

Crude is currently at the 50% retrace at 69.90 which is the half way mark between the previous swing low at 65.92 and swing high at 73.90. So my point is the daily trend line is not broken, and we are at the 50% from the last swing low to swing high which when looking at the last bull market was a golden opportunity to buy. That's what has me long here despite all the bearishness on crude.....Click Here For His Complete Post and Charts


Saturday, June 20, 2009

Eric Bolling: Street Meat, Got gas?

I don't know about you but I miss Eric Bolling on CNBC. Seems like they dump anyone with a mind of their own. You can't argue this, Eric Bolling knows the energy sector. Check out this video from Fox Business, Street Meat, are oil prices surging?