Oil correction set for a deeper pullback
Oil has been a dominant theme through 2016, where the producing nations have tried to support prices through coordinated output production cuts. Due to the lack of willingness from some regions, prices have once again failed to challenge the $50/barrel area with conviction.
Management and risk description
Once the first target is reached, stop can be moved to entry and focus turned to the second and third targets.
Entry: sell Oilusnov16 at current levels ($46.80/b).
Stop: A break above $50.00/b.
Target: $41.50/b, $39.25/b & $36.25/b.
Time horizon: 1-3 months.
Non-independent investment research disclaimer applies. Read more