Thank you for asking. As we all know it investing involves risk and prediction is based on personal bias and what the tape in the market is saying. I have a special way I read the chart and interpret what the market is saying exactly.
The current OIL PRICE on my chart is at $33.37. Using the Fibonacci level, Price is currently at a key chart level $33.37, using Fibonacci retrace, other Resistance key chart levels on my chart are $38.17 and $43.21. At level $43.21 there is a 'window' or 'gap' to the left, that is, this a price action that is very significant, (Price action traders would understand this price signal better). I believe (FROM MY MARKET GUT FEEL) price wants to rally and close the 'window' before it resumes its initial bearish move. The long term trend for the OIL MARKET is BEARISH. Do not buy oil according to my personal opinion from what I have logically interpreted from my charts.
I HOPE I HAVE MADE SOME SENSE AND IF YOU HAVE ANY MORE QUESTIONS, KINDLY ASK. CHEERS!
Yours sincerely,
Paul.
Hey Paul and Everyone else,
I started doing some more research on USO (oil etf), which I own. I bought in before it reverse spilt a few weeks ago and I ended up at $17.09 a share and I’m about to unload the hell out of it, so beware.
Why? Recently USO has now been denied the ability to trade futures in the oil market! RBC (Royal bank of Canada) was the futures commission merchant for the futures and has completely backed out. Basically freezing USO from playing with their fund.
interestingly enough and a piece of knowledge I learned was this...
USO is a commodity fund that doesn’t actually own any oil. Before now it just bought contracts Of oil and rolled them each month. So, when oil went negative there were legit reasons: no demand, Russia-Saudi, etc...
And then there was USO. Folks loaded up thinking there was a rebound coming. USO had to buy futures that literally covered 25% of the May market! When they had to roll May and no one bought those, it left a huge gap in the market and really, really helped it go neg.
Did USO cause the negative pricing? Most likely yes.
Now they changed philosophies and bought a bunch of monthly futures Contracts out to June 2021. What happens to those contracts and the volume of investors in USO? Do they find a different merchant and continue? Do they liquidate each month and evaporate like the previous 20 years of the fund?
Ignorance could prop the whole thing up, I don’t know. Seems like a common theme in this market. Or were stimulus checks meant to do this, to help prop up the market? If you look at a graph of institutional involvement in the market compared to retail customers, it’s considerably more retail. Institutions are not buying in.
I hope this helps and check my facts.
These are interesting times. Don’t be just another robinhood. Due diligence folks.
I don’t like that you have uso when you’d rather not. Just that you mentioned gush...I think they’re the much safer buy right now if the two. 
