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Oil Stocks
Oil stocks have fallen dramatically since two months ago. Oil stocks have also remained quite volatile, often offering opportunity to savvy traders skillful at trading bad news gaps. Commodities in general have fallen as traders anticipate another dip to the recession. The European debt dilemma is on the front pages. Oil futures are down as traders expect decreased demand due to a slowing global economy. Although oil stocks don’t currently look good for buy and hold investing they can be profitable in day trading. Using Japanese Candlestick charting, traders are able to objectively assess market sentiment and profitably anticipate stock price changes. Whether trading oil stocks, on oil stock options, or futures on these stocks, traders can use Candlestick charts to gain profits in both rising and falling markets.
The benefit of stock trading versus long term investing in a bear market is that traders can profit from short term market trends and market reversal. Using Candlestick patterns as a guide, traders can buy stock, sell stock, and sell short in oil stocks or any equity. Oil stocks have fallen in response to worries about a second dip to the worst recession in three quarters of a century. The abrupt up and down volatility of the last weeks has investors worried. The same repeated fluctuations in prices of oil stocks have been profitable to traders tuned into technical price patterns. Using Candlestick analysis traders obtain an objective view of market sentiment. Using Candlestick signals traders can avoid the twin pitfalls of fear and greed that too often destroy the best stock trading strategies.
Oil stocks have gapped on opening a number of times recently as bad news drives opening prices below the close of the previous day. Traders can use Candlesticks in trading bad news gaps. The market inefficiency that often follows breaking news keeps many investors out of the market.
6. Oil futures are down as traders
expect decreased demand due to a
slowing global economy.
7. Although oil stocks don’t currently
look good for buy and hold investing
they can be profitable in day trading.
8. Using Japanese Candlestick charting,
traders are able to objectively assess
market sentiment and profitably
anticipate stock price changes.
9. Whether trading oil stocks, on oil
stock options, or futures on these
stocks, traders can use Candlestick
charts to gain profits in both rising
and falling markets.
10. The benefit of stock trading versus
long term investing in a bear market
is that traders can profit from short
term market trends and market
reversal.
11. Using Candlestick patterns as a
guide, traders can buy stock, sell
stock, and sell short in oil stocks or
any equity.
12. Oil stocks have fallen in response to
worries about a second dip to the
worst recession in three quarters of a
century.
13. The abrupt up and down volatility of
the last weeks has investors worried.
14. The same repeated fluctuations in
prices of oil stocks have been
profitable to traders tuned into
technical price patterns.
23. With the use of Candlesticks, traders
don’t respond with fear to market
changes.
24. Rather they see stock price changes
as opportunity and trade accordingly.
25. Oil stocks may well fall farther as
investors and traders seek to sell
long positions and avoid risk.
26. Options traders can often profit in
such a falling market by selectively
buying puts on these stocks.
27. A clear advantage to using Japanese
Candlesticks to guide oil stock trading
is to anticipate when stock prices
have bottomed out and to profit in
buying at the bottom of the price
curve.
28. There is a sad but recurring tendency
for stock investors and stock traders
to follow the herd.
32. But, this is not guess work. Smart
traders use Candlestick pattern
formations to profitably anticipate
when to stop selling short and start
buying calls.
