100% Gain in 24 Hours
![Mike Paulenoff](/assets/cdn/static/mptrader/images/mike-paulenoff.gif?id=853baf5e048aaccf8689bd216813fa18)
by Mike Paulenoff
April 8, 2016 • 12:00 AM EDT
On Monday April 4, Mike noted in the room that the US Oil Fund ETF (USO) should hold key support at 9.25-9.00 given that its larger pattern represents an incomplete medium term recovery rally arguing for another up-leg towards 12.
On Tuesday, he got into the USO Apr. 8th 9.00 Calls at 27 cents, looking to take advantage of a technical bounce in the USO in reaction to Wednesday's EIA Oil Inventory Report.
Sure enough, the USO bottomed right at 8.99 on Tuesday, reaching above 10 intraday on Friday. Although Thursday's EIA Report would subsequently show a neutral/bearish weekly build in oil supplies, Mike's interpretation of the promising technical set up earlier in the week anticipated strong price action into, and a positive reaction after, the release of the data.
Mike exited the calls on Wednesday at 55 cents, for a 100% gain in 24 hours.
The USO trade was one of several strong trades for Mike since the start of the month. He exited the Silver Wheaton (SLW) puts on April 1 for a +200% gain in 1 day, and the SPDR S&P Biotech ETF (XBI) on April 6 for a gain of 10% in 2 weeks, displaying trading accuracy across a number of markets: Oil, Metals and Biotech.
Plus, Mike exited his Visa (V) and Raytheon Company (RTN) trades this week for 2% nominal gains, with only Nike (NKE) incurring a nominal loss after a 3.8% gain from a prior long position from March 14-18.
Mike Paulenoff is the author of 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
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More Top Calls From Mike
This past Monday, July 15, right after the opening bell, Mike Paulenoff cautioned our members about the technical setup in TSLA (Tesla), writing:"TSLA is in the grasp of a corrective period off of last Thurs (7/11) high at 271.00 that hit an initial low at 231.52 last Friday (7/12). The big rebound off of 231.52 to 262.72 during this AM's pre-market trading has the right look of an "intervening bounce" between two distinct corrective declines (the first being 271 to 231.52).
This week's selection for our Top Call -- VZ (Verizon Communications) -- is less a function of its recent success and more a reflection of Mike's technical setup work that projects gains in the days and weeks ahead. On June 17, one of our MPTrader members (FJB) alerted us to his fundamental work on VZ. After seeing his positive comments, Mike Paulenoff posted the following technical interpretation of the pattern setup:"... somewhere above 36.
On the morning of June 20, Mike Paulenoff posted a heads-up about AMD to MPTrader members, writing:"AMD has been upgraded this AM by Piper Sandler with a Target Price of 175. Piper reiterated its OverWeight rating and has made AMD its top big-cap pick for the remainder of 2024. Technically, AMD has its challenges and its work cut out for it to climb to Piper's 175 target. My attached 4-hour chart setup argues that for starters, AMD needs to climb above 158.
On the afternoon of May 7, 2024, ahead of earnings the next morning, this is what I discussed with MPTrader members about a forthcoming opportunistic technical set in UBER (Uber Technologies):UBER reports earnings tomorrow morning before the opening bell. My Big Picture setup suggests strongly that the bull phase that commenced in June 2022 at 19.90 still has unfinished business on the upside into the 90-100 target window.
This coming week is filled with consequential macro and micro "events," such as NVDA's 10 for 1 stock split, CPI, PPI, and TSLA's annual meeting, during which shareholders will vote to approve or reject Elon Musk's 2018, $56 billion pay package.Arguably, the most significant "event" for the technology sector, in particular, and for the major equity indices is Apple Inc.'s WWDC Conference, which begins tomorrow.