NOW IT’S OIL’S TURN

 

“Key logic in figuring out an oil trade!”  

“Well, that went swimmingly … oil picks a great day to collapse intraday 

volatility … and not only that, a classic ‘Flying Wedge of Death” [FWD] 

pattern thrown in for good measure just to confuse everyone”!

Overnight saw no trades in FX, as call spreads are simply too expensive and 

volatility collapsing … not a good duo for making money. That left us with 

what, at the time, I thought was a good algorithm call in crude for th signals 

subscribers … “well no actually, just a new high, a turnaround, and then after 

a few minutes, picking up speed to the downside, and eventually a new low … a 

new low that goes nowhere”.

The trade damage not too bad, about 20 cents per barrel, but the action since 

offering no chance for another trade due to a lack of any kind of volatility 

that oil lately is used to … “OK then, be that way”! Tomorrow another day.

I saw an interesting oil chart on ZH I want to share with readers. Pay 
attention to each axis and what they represent. The chart directly below.

 

“Isn’t it interesting that the higher the oil price, the lower the volatility, and the 
lower the oil price the higher the volatility … I think this is counter intuitive to 
what most traders think about oil … and yea, it kind of surprised me too”!

 

Onto tomorrow … I’m outta here … until tomorrow mi amigos 

… Onward & Upward!!

Have a great day everybody!

 -vegas

OUR NADEX SIGNALS SERVICE IS UP & RUNNING … DAILY 

WTI CRUDE OIL SIGNALS & “VOLATILITY” STRATEGIES 

IN 20 OTHER MARKETS, INCLUDING COMMODITIES, FX, 

& STOCK INDICES! … “what on earth are you waiting for”?