Oil Should Resolve to the Upside

Today's decline of about 1% in the Oil Services HLDRs (AMEX: OIH) represents a minor pullback after yesterday's key upside reversal (and 2% higher close). Let's notice that the last several sessions have carved out a high-level congestion area between 1145 and 148 (roughly), which should resolve to the upside in a thrust that challenges a 9-month resistance plateau across the 150.50-151 area. If that resistance plateau is hurdled and sustained, the OIH will trigger much higher targets at 158 and then 163. Only a decline that violates yesterday's pivot low at 145.13 will compromise my current outlook.
  • Action-Oriented Trade Set-Ups in Stocks & ETFs
  • Macro Analysis of the Broader Markets
  • Detailed Technical Guidance for each Trading Idea
  • Live Interaction w/ Mike & Our Member Community
  • And Much, Much More!
Join Now! - Special Offer!
Veteran Wall Street analyst and financial author, Mike provides detailed and timely analysis and trade set-ups on a range of markets. Read more...

Have Mike's “Out Front” morning analysis delivered FREE to your email inbox twice weekly!