You guys ask me all the time what I think about oil and I usually lack any clarity on the commodity. I do not like oil as an instrument because it is a fundamental product. That means its action is predominantly driven by macro events. It also means anyone hip to those macro events will have an edge over me.
However, there is a technical setup going on here that I have become intimately familiar with–the old falling wedge. This pattern is a vicious bastard, one that many times severed my head until I threw out the book that stated it was a bullish pattern and looked at it as an auction.
What happens in a descending wedge?
a. price goes lower
b. volatility compresses
c. higher highs, higher lows
d. lower highs, lower lows
I will answer that one in a while, after you’ve had the chance.
Here’s what I expect oil to do over the next week or so. First, a big fast and nasty flush lower out of the descending wedge. It will likely test below $43 and maybe even $42. It is very likely to be a gut wrench. Then, over the course of several weeks a return to the wedge and blast higher up through it.
I am not providing a chart. You all have charts, yes? Pull it up. We have tested above this major consolidation and found responsive sellers. They are walking price lower. What’s next? We test the other side of this well-established consolidation.
The special kicker is it comes on the heels of a descending wedge. Hide your pets. This move will crave pets and brains.
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Would you post a link to the GARP motif ? Can’t find it on the site.
https://www.motifinvesting.com/motifs/ibc-growth—for-the-win—eE3ekdik
If you are opening a new account refer me and we’ll both get $100 bucks. Not bad.
How does it work with rebalancing if someone invests in it? Does it rebalance another persons portfolio when you do- or does it send a notification or what? Cool idea and great way to track the GARP portfolio. Sign up bonus would cover rebalancing for years
Hm with a 100 bonus and only 1000 minimum, seems like a steal. How much do you think you need for proper weighting? I’d think 2-3k to be able to balance it properly
You can do whatever you want. With motif you can own increments of shares. Like you could own 1/3 of a google share. A friend of mine only put 2k into GARP.
When we rebalance the GARP in January it will be another 10 dollar commission, I think. I’m still new to it.