Our analysis of all reliable projections of supply and demand that we can find has not supported crude oil prices of over $70.00 per barrel. However, we refrained from giving a short sell signal due to strong technicals.
Yesterday, there was a vicious reversal from highs of the day. Same pattern repeated today. It appears that technicals are finally deteriorating. Earlier today we gave a short sell signal to scale in at $71.70 via twitter. We will tighten the stop on half the position and maintain the rest with a wide stop.