Crude Oil: Dead Cat Bounce in Bear Market?

Crude Oil have reached the critical resistance turned support (at about $43 from the chart) after entering into a Bear Market. The recent plunge for oil into bear-market territory, defined as a drop from a recent peak of at least 20%, comes as a consortium led by the Organization of the Petroleum Exporting Countries have failed to stabilize prices, despite a recently reupped pact to limit production until March 2018.

If this $43 support holds, a Dead Cat Bounce to the down trend channel resistance is expected. Dead Cat Bounce is an opportunity to get out in the bear market.  If you are holding all oil & gas sensitive stocks and corporate bonds in Singapore like Keppel Corp, SembCorp and other 50 stocks I have screened using ShareInvestor, prepare for the rough ride if the Crude Oil break the $43 critical support and further downside is expected. It is time to review your portfolio what is your exposure to the energy and Oil & Gas sector, and re-balance  or hedge your portfolio if necessary.

Energy Sector ETF (XLE) is also trading in a clear down trend.

 

 

Last word: Trade & Invest based on what you see, NOT based on what you think, what you hope and what you hear.

Start review your portfolio NOW !

Safe investing!

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KepCorp: Dead Cat Bounce!

Watching closely this Dead Cat Bounce on KepCorp. Doji on last Friday closing hitting the declining trend resistance (green line), 20D SMA and also getting close to 50% Fibonacci Retracement Level.  Waiting for this Bull Trap to complete to initiate a Short position again!

Original post by Marubozu from My Stocks Investing Journey.

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See last post on KepCorp Fundamental & Technical Analysis.