SCO and oil

Oil is bouncing today but large players are not buying.

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SCO seems to be attracting money

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We can see that SCO is pulling back within a longer-term uptrend. This means that we could buy the pull-back if we believe that oil will be weaker again. That is the hypothesis. This hypothesis seems to be what large players are trading right now.

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If this hypothesis is correct, the stats for a long SCO trade are below.
Of course, if the hypothesis is wrong, we will need to get out of the trade. This is why we have a stop below the envelope.

The general idea for making money is to follow the main trend.

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