Oil is about to reverse

It was a successful short last week. Oil sold off earlier than SPX500 on Chinese news (before Trump's tweet). It stopped exactly at the target level and according to my count, this was a local bottom.

If you trade Price Action (candles, pinbars, engulfings etc.) you are probably superbearish on oil. Look at those red daily candles bouncing off 200MA and previous bearish engulfing. However Elliottwave count says we are about to go up in a strong impulsive move.

Once again. The oil wave count is very difficult because we are going through an extremely complex correction in the bear market that started in 2008. There is no clear trend, just up and down, up and down sometimes on the news sometimes without an obvious reason. The main trend is down but as I said in my earlier posts including this one on commodities I believe we will have another sharp move up in the coming month(s).

Friday I closed all of my shorts and Monday I am opening longs and will look to move into cheap volatile oil drillers (REI, RIG, APA).

코멘트:

Scalping. Waiting for 1-2 waves to form to go long.