Issue #104
| Recommendation:
For each $25,000 in equity you are trading … Buy 200 shares of the ProShares UltraShort DJ-AIG Crude Oil ETF (SCO) at the market and simultaneously place a protective order to sell 200 shares of SCO at $25.47 stop, good till canceled. |
Dear Member,
My trading models flashed a sell signal for crude oil this morning, hence the above alert. 
On a technical chart basis, oil had rallied during much of the artic freeze phase and tensions over the Ukraine, testing overhead resistance at the cyclical break line you see on the chart to the right.
However, this morning’s turned back down has flashed a sell signal on my models, and we should now see oil fulfill it’s deflationary trend toward the downside, with an eventual break of the uptrend line drawn on the chart, which emanates from the 2009 oil crash low and the 2011 lows.
Be sure to act on the above alert as soon as possible.
Yesterday natural gas continued to slide, in its worst single day decline in nearly seven years, stopping you out of your UGAZ shares when it hit my revised stop at $31.24, for a modest gain of 16.03%.
Stand aside natural gas for now. It has become exceptionally volatile, but it’s longer-term uptrend remains intact. I will look to re-enter the long side of UGAZ, but wait for my signals.
Stay tuned and best wishes,
Larry
