Nasdaq is on Fire!, Crude inventories in the spotlight again --> $580 profits
Nasdaq Emini 100 Candlesticks
Hi,
Remember the last week when oil prices were going down and nobody cared? The stock market did not react to lower oil prices... and everybody temporarily forgotten how high oil prices increases inflation and is a drag on consumer spending.... While, today is different... the crude oil inventories grew by a large margin of 700,000 barrels... and this coupled with strong results from the likes of Yahoo and Sun microsystems,, the Nasdaq was basically on fire...
It gapped up by a whopping 10 points... traders should know better than to short this kind of market... It is pretty obvious that today's going to be an up trend day.... However, movement before 10:30, the release of the crude oil inventory data was mixed at best.....
At 10:30,, immediately after the release of the crude oil data, price shot up....I was lucky enough to enter 1 contract at 1802 and another 2 contracts at 1803.5...My job is basically done.... momemtum is strong and price keeps on going up... I am just sitting back to watch it and look for an ideal exit point... At 11:30,, price started to show some weakness.... and I got ready.... I exited at 1812 with $580 profits...
Crude inventories:
Crude oil inventories grew by 700,000 barrels to 322.2 million barrels in the week ending January 19, while gasoline stockpiles added 4 million barrels, much more than had been anticipated, to 220.8 million barrels.
Distillate inventories as a whole were up by 700,000 barrels to 142.6 million barrels; while heating oil stockpiles declined, diesel fuel inventories were up substantially. Stockpiles of gasoline, heating oil, and diesel are all at or above average for the time of year.