Breakout points failed to hold, and the selling continues to intensify. Nothing is safe here. Commodities are getting killed and the action screams deflation. As Fly, says, “Welcome to the deflationary vortex!” Oil really needs to turn before things get better, today’s selling is relentless.
I want no part of longs here and am back to cash here after taking $DVN off for a loss, as well as THLD. Today’s selling caught me by surprised, I thought we might see a small pullback, but nothing like this.
Recent longs are now trapped, I would not be surprised to see further downside from here. Sitting tight for now in cash.