June Crude reversed sharply Thursday from within 16 cents of the 47.42 Hidden Pivot support I’d flagged here the night before as a good place to get long. Sounds easy, right. It wasn’t. The futures initially bounced from 46.45, three cents from my number, after plummeting $2 from the previous day’s highs. The close-but-no-cigar low left subscribers a penny or two shy of getting aboard, according to reports in the chat room. What happened next would have challenged bulls and bears alike: The futures relapsed to 47.26, 16 cents below my target and three cents below the stop-loss that had accompanied it; then they rocketed sharply higher, on their way to a so-far recovery peak at 49.13. Intraday histrionics aside, the bigger picture is going according to plan. I’ve been bullish, but with a 51.49 rally target that I regard as the upper limit of crude’s dead-cat bounce from lows near $27 in February. We shall see, but in any case we’ll attempt to short just above with as much caution as we can bring to the task. In the meantime, stick close to the chat room and my tout updates if you’re hot to trade this monster. _______ UPDATE (June 9, 11:03 a.m. EDT): July Crude has taken a $1.44 dive after peaking today eighteen cents from the 51.49 target given above. A short from the target would have produced a profit so far of as much as $1300 per contract. As a practical matter, you could have gotten short either Wednesday or today, since, as I noted in the chat room, we typically allow 21 cents of leeway for this vehicle, even when the targets are crystal clear. Is the top in? It’s too soon to know. But if you shorted my target and have taken a partial profit as you should have, and made a ton of money on the way up as you might have, why should you even care whether crude has topped?
