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Oil & Gold Update

My reply to an inquiry I just received as to my thoughts on both crude oil (USO) as well as gold & the miners:

Still long oil personally but wouldn’t add or start a new position here as today’s price action looks ugly on the chart. Best to wait for USO to pop over this 15.64ish horizontal resistance which would also trigger a breakout above this 60 minute downtrend line.

USO 60 minute Aug 5th

USO 60 minute Aug 5th

Regarding gold & the miners, not much has changed since my last update. GLD closed below my buy-point (that downtrend on my weekly chart) for the last two weeks & baring a considerable rally from here into the close Friday, is poised to print a 3rd consecutive weekly close below. Therefore, I personally wouldn’t add any exposure unless/until we get some decent evidence that at a bottom might be forming (e.g.- a selling climax or a multi-day/week bullish candlestick reversal pattern).

GLD weekly Aug 5th

GLD weekly Aug 5th

 

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Aug 5, 2015 12:28pm|Categories: Gold & Commodities|Tags: , , , |Comments Off on Oil & Gold Update