qwich34- regarding USO, obviously it's pulled back
with the market, but technically it's also doing what you would
expect because it had no base and simply bounced off support,
remember how I always state that when something bounces hard from a
strong downtrend line with no base, you always get a pullback and
that's what we are seeing with crude.
For USO, the 13 day EMA (red MA) acted as resistance the whole
way down, now perhaps it will offer some support, it's getting
close on this pullback, otherwise the 20 day MA would be the next
support (green MA)
the second chart shows a 60 min chart of USO, it didn't quite
fill that gap of course and is pulling back. However at least
for now the pullback has been on lighter volume which is a
positive, the green MA (130 MA) is the 20 day MA. Therefore I think
there is a chance it will form a higher low, however that of course
will depend on what the market does and Dollar
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matt about uso
Posted by qwich34 on 6th of Jul 2012 at 10:57 am
what do you think about buying the pull back
qwich34- regarding USO, obviously it's
Posted by matt on 6th of Jul 2012 at 12:00 pm
qwich34- regarding USO, obviously it's pulled back with the market, but technically it's also doing what you would expect because it had no base and simply bounced off support, remember how I always state that when something bounces hard from a strong downtrend line with no base, you always get a pullback and that's what we are seeing with crude.
For USO, the 13 day EMA (red MA) acted as resistance the whole way down, now perhaps it will offer some support, it's getting close on this pullback, otherwise the 20 day MA would be the next support (green MA)
the second chart shows a 60 min chart of USO, it didn't quite fill that gap of course and is pulling back. However at least for now the pullback has been on lighter volume which is a positive, the green MA (130 MA) is the 20 day MA. Therefore I think there is a chance it will form a higher low, however that of course will depend on what the market does and Dollar