Friday, June 06, 2008

Energy FUTURES to go LIMIT UP!!!

Look at the huge volume at 10:25am.

Oil Craziness at its best.

Who do we blame now?

BUSH is coming on in REAL soon to tell us everything is fine with the economy and the price of Oil is not bad.

Apparently there are still retail traders crazy/brave enough to short Crude Oil on day like today...Only at Elite Trader Forums

All I can say is, FINALLY, I'm not the dumbass that shorted Crude Oil on the worst day possible. HAHA.. If I was still short Crude Oil from back in April, I would be down close to $100,000...HAHAHA


BH_Trade on 2:41 PM said...

Saw a couple different "I'm shorting oil" threads on Elite Trader today. Probably explains the limit up move. Also saw that some of those same (presumably undercapitalized) retail guys were holding short over the weekend, most likely because they were sitting on losses. News-related gap up and subsequent margin calls anyone?

Unknown on 4:41 PM said...

Overleverage will kill any trader...I was short OIH(oil services) with puts which ended in the money after a huge gap up.(up huge on Thursday too). I was short both times USO gapped up to 110.50 and 112.50. My short at 112.40 almost got me back to even after people collected profits in the last half hour.
Percentwise 10% jumps shouldn't trigger a margin call unless your waaaaayyyyy overleveraged. I think short-term its way overbought and Monday will short USO for the pullback especially if it gaps higher. Summer overall will keep it high but it was words of ANALYSTS of $150 July 4th oil and $200 is good that sent it skyrocketing.

HPT on 8:29 PM said...

My overall thesis was to wait for BUSH to leave office and for hurricane season to be over and for a technical pattern in crude to show up for a short. Heating oil right now is probably more short term overbought. I would expect Crude Oil to fall first, then Natural Gas, then Heating Oil. I'm not sure what is going to happen with Gold and the US dollar. If gold makes a run for 1000 again, then we may be fucked (as in Oil really is going to 180-200). I think it'll take at least 6 months of media coverage to drown out the OIL hype. CNBC has been airing Oil as the major threat to the US since around march. The best call to go long OIL was when T BOONE PICKENS said he went SHORT back around that same time period. The volume on USO was over 3x its avg. on Friday. If there was a VIX on Oil I would fade it, because the premiums on Oil options just jumped huge the last 2 days as well. Next week should be real fun.

tapeworm on 4:53 PM said...

john: trading the CL is quite different than trading USO when it comes to 10%...futures and hedge funds are all about leverage!

i heard some guy over the weekend spell out HPT's thesis of a fund blowing up

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