OIH Signals A Short Signal Sell

A few days ago, I mentioned it was round one in the gold and oil sector. It’s looking like a dead cat bounce now. Two stocks mentioned, MRO and VLO triggered BS2 trading patterns at the 20 and 200 day moving average. OIH, the Oil Services Holdr also produced a nice sell signal. These are looking great for anyone picking up these shorts.

MRO stalls near it’s 200 dma.

VLO, a favorite during the run in oil stocks, shows no love to the longs now.

The next opportunity to trade these on the daily will come if they decide to break their recent lows. Also, this could be just a minor pullback in a bottoming formation. I’ll be waiting for a signal regardless. Predicting what they will do is only guesswork. You have to define your risk when a trading pattern emerges and swing trade, or flip it during the day.