30Nov10:50 amEST

Memo to OPEC: Ball Don't Lie

via urbandictionary.com

"Ball don't lie" is said when a player misses one, two or all three of his free throws after a questionable foul call is made by an official. The ball is, essentially, the unbiased judge who will not reward the player...

Crude oil and energy stocks have flopped around, complete with head-fakes in both directions, for a good while now. This morning's news that OPEC will cut supply ignited a furious rally in crude, as well as a sharp sell-off in bonds. 

Ultimate, however, the USO ETF, below on the daily timeframe, needs to clear $10.80 with force in order to cement a more tradable move in the energy patch. It is interesting, indeed, to see USO gap up directly into that level this morning, one we have been noting here and for Members for a few quarters now. True, some individual energy stocks are breaking to multi-month highs. But most are simply flopping around like a fish out of water in the context of a sideways range. 

If the market ultimately rejects OPEC's cut as a silver bullet for a new bull run, then $10.80 will likely continue to offer resistance, effectively providing the "ball don't lie" argument. Thus far, the OPEC cut has yet to prove to be a panacea. 

Stock Market Recap 11/29/16 ... A Quick Trip Through God's C...

 
BackToTop
 

This website is intended for educational purposes only. | © 2024 MarketChess.com | All Rights Reserved | Website design by Saco Design | Superpowered by Site Avenger

mobile site | full site