USO Outlook Confirms XOP GUSH Trade

Should this scenario on the USO 60-minute chart play out as I'd expect, that would confirm the current active short trade on XOP / GUSH. 60-minute charts:

note: USO is not an official short trade idea although it will appear listed under that category as this post has been tagged with the USO ticker symbol along with XOP & assigned to the Active Short Trade & Short Setups categories. XOP & GUSH are still categorized as Short Trade setups because they still offer an objective short entry following today's backtest of the recently broken uptrend line.

2016-05-05T13:57:07+00:00 May 5, 2016 1:57pm|Categories: Completed Trades - Short, Gold & Commodities|Tags: , , |3 Comments


  1. jegersmart May 5, 2016 2:20 pm at 2:20 pm

    At this stage, the RR looks a bit slim (bearing in mind Crude is a very hairy ride atm)?


    • rsotc May 5, 2016 2:34 pm at 2:34 pm

      Crude has certainly been volatile this year & you’re right, that wild ride probably won’t end anytime soon so any energy sector related trade ideas, long or short, might not be for the faint of heart. With that being said, nothing is 100% in trading but from the looks of the charts,it looks to me that crude is heading lower with the US dollar moving higher to confirm. I’ve always stated that one should pass on a trade that doesn’t mesh with their own analysis as well as their trading style or comfort level. A short trade on XOP or GUSH, based on the fact it is both a counter-trend trade plus the recent volatility in the sector, is certainly not for everyone although someone already long crude or energy stocks might find the analysis useful in determining where to place stops or add to their position(s) on a pullback.


  2. pangblood May 5, 2016 3:34 pm at 3:34 pm

    Really like the chart for this one, considering that you have been bullish for months, looks like the tide has turned.



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