Oil forecast remains on course, here's what's next

The DJIA

This venerable index stayed below the stop level of 10453 yesterday, requiring the system to stay short into the open today. My studies are indicating 10377, and 10353 as potential areas of support. Holding shorts. Short/profitable

OIL

My analysis of the hype driven oil scenario is playing out as expected. The shorts turned positive today with close to one point profit as this is written. I am expecting further weakness and am holding shorts at an average cost 66.88 at this time. Short/profitable

US DOLLAR

Yeah ! Nailed the down move in the EUR/USD pair once again. Supposedly, a large middle eastern bank sold several billion worth of dollars at 5:30 AM EST this morning causing a huge 40 pip upswing just nailing the shorts with too tight stops. I am holding shorts here entered at 1.2213. Short/profitable

EQUITIES

(DAL | Quote | Chart | News | PowerRating) Staying flat and waiting for 1.03 to enter longs. Flat/long bias

(ALL | Quote | Chart | News | PowerRating) Wow, this one surprised me with uncanny strength in the face of potential disaster. The longs were stopped out with small losses and I will reshort at 51.97. Allstate is not out of the woods yet! Flat/short bias

(GOOG | Quote | Chart | News | PowerRating) This implosion waiting to happen is actually selling a little at this time. Remember, the go short trigger is 303.93 Flat/short bias

(IBIS | Quote | Chart | News | PowerRating) My low priced chip maker pick is continuing to churn sub the go long level of 2.03. Staying flat at this time. Flat/long bias

Best Wishes in the market!
Dave G

David S. Goodboy (marketsurfer) has been trading professionally for over 14 years. Mr. Goodboy trades ETF's, stocks, index futures, energy futures and options. His primary focus is a unique multi-time frame index trading system based on a combination of time/price cyclical studies and statistical models. David was a trader/partner with Biltmore Capital, traded with an option arbitrage firm, and is currently in the launch stages of IntrendX, a global multi-strategy fund.