I would expect oil to tag the the$160-170 level as any shorts(are there anymore shorts in oil?) will run to cover at any cost and oil longs press their positions. The stock market will dive in a "get me out" fashion as curbs and limit up scenarios kick in. This seems almost bound to happen unless Iran lays down their swords, and we all know that will never happen. So be careful when everyone tells you we are "oversold". I know Israel is flexing their muscles here, that's what any country would do, but Iran is showing an arrogance that made Saddam look like an alter boy. This may take a while, but the fact that it is "out there" just doesn't bode well for lower oil. I don't care how much we drill. This certainly would be the event that tips the cow.
Saturday, June 21, 2008
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About Me
- upsidetrader
- I am a former hedge fund manager, broker and capital markets dude who now trades for his own account. I love what I do. I will try to post some stocks and an occasional chart that looks attractive for entry.I will also try to point out the idiocy of conventional wisdom and the lack of value added by the mainstream financial media. These postings should not be viewed as recommendations.
2 comments:
1st off, you have a great blog!
Would you read anything into the fact that with the exception of Wednesday, USO started strong but at the close finished weaker? BTU broke out to all time highs Thursday on decent volume, but finished Friday 4% off those highs? If everything is so bullish for energy shouldn't they finish stronger?
sick
i wouldn't read anything into it, strong stocks need to breath and thanks for stopping by.
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