Apr 11

Upside Reversal in Oil Services

A big drawdown in gasoline inventories (compared to expectations) has triggered a powerful intraday upside reversal in the Oil Services HOLDRs (OIH) ETF from 151.40 to 152.50, which does NOT surprise me because yesterday's upside breakout from a multi-month base pattern argues for higher prices (regardless of the reasons!). Next target zone is in the vicinity of 155.
Chart

Mike Paulenoff is author of www.MPTrader.com, a real-time diary of his technical analysis & trade alerts on ETFs for precious metals, energy, currencies, and an array of equity indices and sectors, including international markets, plus key ETF component stocks in sectors like technology, mining, and banking. Sign up for a Free 15-day Trial!