The recent test of the 51 area signaled the biggest net short position by producers in a very long time.
The sold in anticipation of higher prices but now the market topped and needs to correct before we see a big push to the $60 that Saudi Arabia wish to reach soon.
I will be placing a limit at the 48 area and sell to $40 - $35 range, That is the area where we can start piling up on long term buys and re-enter with each daily retracement.
The demand for oil keeps rising we are in a 40 year bull market , we must not worry about excessive manipulation and noise from the talking heads on TV and focus on a long term perspective.
The true direction is a medium term bear move. I will also place a sell stop below the recent swing low just in case OPEC meeting sends us straight down.
The sold in anticipation of higher prices but now the market topped and needs to correct before we see a big push to the $60 that Saudi Arabia wish to reach soon.
I will be placing a limit at the 48 area and sell to $40 - $35 range, That is the area where we can start piling up on long term buys and re-enter with each daily retracement.
The demand for oil keeps rising we are in a 40 year bull market , we must not worry about excessive manipulation and noise from the talking heads on TV and focus on a long term perspective.
The true direction is a medium term bear move. I will also place a sell stop below the recent swing low just in case OPEC meeting sends us straight down.