Selling Oil!

“To short oil, or not to short oil” That is the question.

There is much discussion how high oil can go before correcting. Yesterday I was discussing with a trader the ramification of such a short-side approach. I didn’t agree with all of his reasoning yet I do remain persistent that oil will fall to 122-124 by the middle to end of next week.

Nevertheless, I have chosen to sit this one out and watch the markets, for two reasons. First, I don’t believe I have the facts and figures necessary to make the trade, and Second, I don’t have the right instruments and knowledge thereof to profit from it (apparently DIG and DUG aren’t too helpful in this regard). Remember, its an 8% trade for every multiple of leverage!

Good luck all ye oil shorters!

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