Gold and Oil Playing A Similar Game

Another weak to strong hand transfer to reestablish control of the trend. This transfer will create another professional entry point soon.

CrudeOil (WTI) and the Commercial (C) & Nonreportables (NR) Traders COT Futures and Options Stochastic Weighted Average of Net Long As A % of Open Interest


Quick-click (hitter) headlines are tools designed to support the short-term trend (i.e. money). If the trend is down, they reinforce doubt and fear. If it's up, they support confidence and greed. The direction of the trend reverses when retail money is concentrated to the wrong side of the trade.

Headline: Oil falls below $98 as traders eye US crude demand

Oil prices fell below $98 a barrel Monday as the dollar strengthened against the euro and investors worried that soaring U.S. fuel costs were undermining crude consumption.

By early afternoon in Europe, benchmark crude for June delivery was down $1.75 to $97.90 a barrel in electronic trading on the New York Mercantile Exchange. The contract settled at $99.65 per barrel Friday, up 68 cents.

In London, Brent crude for June delivery was down $1.38 to $112.45 a barrel on the ICE Futures exchange.

A stronger dollar weighed on oil prices by making commodities like crude more expensive for investors trading in other currencies.

Source: finance.yahoo.com