Oil and Oil stocks

[TradeTheEasyWay]

The US markets markets like what the fed had to say today and finished at the highs. I'm swing long oil after todays action.

A good time to get in on oil and gold stocks?

I'm swing long gold - hammer of major support - looking for 1365/75

I'm in US stocks pten & hl -
UK - AGLD & PFD

Disclaimer: don't follow my trades, I don't know what I'm talking about.

Mike

 

[ttabz]

Nice video Mike!

I am only trading Crude Oil and it did retrace after your prediction )))
I got stopped out at the bottom, wish I didnt have stop losses and "waited i over".
I am confident that crude will be trading towards $90-$92 and the March contract has seen its lowest...

What indicators are you using? And what are your criteria's for stop losses and take profit?

 

[TradeTheEasyWay]

Hi ttabz,

The next support for oil is 85. We need to break back above 87 tomorrow if oil is to recover.

We have a weekly trendline at 80 so a weak close may bring us down to that level.

In swing trading my stop is 2 bars back in day trading it can be 20-30 points in futures.

How long have you been trading oil?

Mike

 

[ttabz]

I have been trading it on and off since December 2008.
I "overtraded it" and on some occasions became to greedy trying to ride the waves up and down. then I was trying to add to loosing positions expecting the market to turn. I was so naive.

My stop losses were always hit and I was loosing money. Now I am not using stops, but buying small contracts (worth $1.5 per cent) and putting an opposite order with double the value.

Will see how this strategy works.

Tim

 

[TradeTheEasyWay]

Hi Tim,

Oil is a tough market. Here is a video of an oil trade I took with one of my members...

http://www.thehamiltons.co.uk/live_trading_26_02_10/live_trading_26_02_10.html


Mike

 

[ttabz]

Nice trade.

And the funny thing is most of the action happens between 13:00-17:00 GMT time.
Other periods might have some volatility but very rare.
Although those time on an average day are great for scalping easy 20-30 pips per hour ))) This includes 4cent spread.

 

[TradeTheEasyWay]

If you want to make money out of oil - one of the toughest markets - you need a tight plan. I trdae oil very specific times and in tick charts with pivots.

Also, if you tarde small time frames in spread bet accounts and only get small moves you will kill your account. I trade in a futures platform so I can get the right entry / stop.

Another way of trading oil is to follow the loonie (cad).

Did you watch my video? I'll do some more soon.

Mike

 

[ttabz]

Yeah, the video was good. It was obvious the volume was there. What time was it? GMT?

I am still trying to find out my strategy with oil. Sometimes I increase my account by 150% in matter of weeks, then loose most of the gains because of adding to loosing position waiting for it to reverse.

To be honest I thought loonie was following CL...

 

[ttabz]

Phew, what a day. from 8600 to 8900.

 

[ttabz]

I reckon it will retrace to around 8800ish.

 

[ttabz]

http://seekingalpha.com/article/249...-brent-explained-by-u-s-idiosyncratic-factors

 

[TradeTheEasyWay]

The best time to trade oil is 2.30pm+ as US equties open at 2.30pm (oil pits 2pm GMT).

If you are trading in a spread bet account I suggest you just take 60 minute set ups. Video showed tick charts.

Mike

 

[TradeTheEasyWay]

Aftre 2.30 gmt, 2.30 to 4.30pm is the best time to trade except Wednesday's.

If oil can break 93 Oil

http://ow.ly/3MT6e

Mike

 

[ttabz]

Well it is that time of the day now )
Getting ready for some action.

Will put on sell at 8900 and one buy at 9040. Will close it at 16:50.

 

[ttabz]

I think the Egypt factor has been the main factor for the recovery from recent lows.
But my opinion is that WTI will be going down in the short term...
Too much stocks and the whole bull run in the stock market has been "overdone".

 

[TradeTheEasyWay]

Well it is that time of the day now )
Getting ready for some action.

Will put on sell at 8900 and one buy at 9040. Will close it at 16:50.

Pits open and down we come.

Lately the move has been after the US equities open, that could still happen.

Mike

 

[ttabz]

Short opened so cancelled the other one.
Closed half of the short at 8870 and moved SL to 8890.

 

[ttabz]

Will put another sell at 8850 valid for execution for 60minutes.

 

[ttabz]

Thats stop activated.
So in 30 minutes I have 20 cents:
15cents (0.5 contract sold at 8900 and half bought back at 8870).
5 cents (0.5 contract sold at 8900 and SL activated at 8890);

Shame it wasnt leveraged.

 

[TradeTheEasyWay]

If you Guys are interested I do a free daily video on this channel. Click subscribe if you want to get the updates.

Here I talk about the possible next move in oil, only 3 minutes short.

http://www.youtube.com/thetradermike

Mike