The focus of the blog is on the economic and financial uncertainties that the world economies will face over the next five years along with demonstrating how investors can profit and survive during the upcoming manipulated economic chaos. Please keep-in-mind that I don't provide investment advice. I am simply posting what my investment views of the market happen to be. Your investment decisions are solely your own responsibility.
Wednesday, June 17, 2009
Reflection on DTO (Double-short Oil) and USO (OIL)
I entered a trade on DTO today at $71.81 with a stop at $71.09, which turned out to be a very quick trade (loss of 1%). Saying that, I still like its potential. Please refer to the following chart for my rationale on entering the trade. On reflection, I would have done it again, because all the key technical indicators (stochastics, PPO, and CCI) were all in alignment. Now, take a look at USO, which is the mirror image of DTO, and tell me do you want to be long or short oil based on these two charts?
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