Archive for category: Premium

I have been bullish on Oil and Recently the XLE or OIL & ENERGY stocks. Well, nothing goes up forever, but a pullback can also be a buying opportunity.  I saw a fairly strong looking reversal in  UCO & USO midday yesterday and wrote in the comments that this could be a temporary topping candle.  That doesn't mean I am suddenly bearish on energy stocks now, so let me just discuss UCO & WTIC first, and then I want to also discuss the Miners.

UCO - Due to the gap open and then the selling, we have what is seen as a bearish engulfing. Look where it happened.  Usually price dances or crawls around the 200sma as a resistance point, so I expect some sideways movement or a pullback at this resistance area.

WTIC- Look at Oil however. It already rode along the 200sma, and we have seen many reversal candles in Oil along this run, so we may just get a small pullback and even back test the 200sma.  We are seeing a 'peak' on day 19 so far, but this CAN peak even higher.  The set up remains bullish.

My emails were mostly asking about the Precious Metals and Energy,  so that it what I spent my time on.

Last week was the week of the September F.O.M.C. Meeting. Let's review how the week played out and ended.

 .

SPX - We find the SPX on day 23 and that is within the timing that it could start to seek out a daily cycle low.  I am pointing out in this chart that recently when the daily cycle has been in the 20's plus count, it has merely gone sideways, so upside may be limited here.

I did notice a few other interesting things with the General Markets however.

F.O.M.C. Volatility,  you just can't trust the initial moves out of that 2 p.m. decision , but what is next?

Storms can cause a pretty big mess, no doubt about that, but sometimes after the storm, we can appreciate the beauty of the recovery.  Right now the Precious metals are selling off, and to many, we have a mess. Will there be beauty after the storm?  We will discuss that in todays report...