[trader273]

Also, I think you have Nison's books. Do you remember reading about "crack and snap" and "Falling off the roof"?. If not, take a look. He talks about how to play these kinds of head fakes.

[trader273]

Looks like it got over the highs. I guess this just shows how different entry methods have different outcomes. Getting in at the close will give you a better price, but more stops outs. Since we are going against the trend, I wait for confirmation. Now we have to wait and see if this move above the highs is a true move or a head fake. If its a true move I will wait for a test of this new support, if its a head fake I will be looking for a pattern to sell.

Also, something interesting to note is that neither Heating Oil or Natural Gas has taken out the highs. They might do it in the next couple days, but just something else to watch to try and put the pieces of puzzle together.

[james_gsx]

Natty gas took out those highs. I put up my next target level. Sort of disappointed that I sold my calls in CL, but there will be another opportunity.

[james_gsx]

CL could be setting up for a nice short on the weekly. The daily has shown some weakness and inability to break out $120. The double bottom from $100 would be complete at $120 as well. With today's rally it's a better risk/reward. One could argue that the entry was a few days ago, but from a weekly standpoint I still think this could be a good entry. Obviously the stop would be a close above $120.

Thoughts?

[james_gsx]

I love talking to myself

Anyways, we had a doji at $120 and the short position was confirmed. I covered to day at the 21 EMA. The original plan was to cover at the low of last weeks spinning top, but since we closed below the 8 EMA yesterday I thought I would wait to see if the 21 EMA was tested - and it was.

[trader273]

Hasnt been much action in this thread, so here's my take.



*At the time of this post there was still about 45 min in the pit trading hours for oil. I made the assumption that not much would change.