The big OPEC meeting is next Wednesday in Vienna, and from what I’ve read, crude is going to move massively either up or down, depending on the outcome. That sounds like a ridiculous thing to write, I realize, but the point is that this is a BIG “binary event” in the world of energy.
Last year, exactly at this time, the world of crude oil started falling to pieces, and it fell steadily for ten weeks. None of us can know what next week holds, of course, but at the moment, faith in a deal by which the cartel abides doesn’t exactly seem strong. I’m sticking with my many energy shorts.
Good morning, Slopers.
It’s very fashionable, I realize, to be madly in love with the US dollar and commit all kinds of atrocities against the Yen and Euro, but for the moment, I really think these latter two currencies have a chance at a turnaround.
Looking at the FXE (which is the ETF for the Euro – – kind of a poor man’s way of trading the forex), it has completed an island reversal. Going long the FXE with a stop at 102.69 seems like a pretty interesting low-risk trade.