TradingPub Daily Report, October 26
Where is all the talk about Crude Oil?
Trading in this market without understanding the global economy is like taking a knife to a gunfight. This morning we highlighted five Global ETF's to keep an eye on for those looking to diversify into some international markets. As far as today's trading goes, we saw the bulls take charge early on this morning as the futures markets rallied throughout the globex session. The ES Futures actually topped out at a high around the 1140-42 area and then began their decline with small stops along the way at 1130-33, 1127, 1120-22 and are now currently trying to base at the 1116 area. These are very important areas that we will continue to watch as the market tests them.
A market that we feel has not gotten much attention despite its 20-25% rally off the lows of the month is the Crude Oil market. We brought in one of our technical analyst to share his thoughts on this market over the intermediate term. On a seasonal basis, Crude Oil is typically flat this time of the year, however, there is a strong technical setup beginning to form along with strong trendline support on the daily chart. For those that do not trade Crude Oil futures, there are several different ETF's to gain exposure to the sector such as (NYSE: USO), (NYSE: OIH), (NYSE: DBO) and many others. Crude Oil has a 1-2-3 Bottom currently forming from a technical standpoint and that particular setup is highlighted in our Daily Report Video below:
