Closed Trade Alert: APA +34%
We are going to exit one of our two energy positions today. There is potential for more upside into next week, where we expect a 4 to 6 week peak to form, and will sell OIH shortly. We see a higher peak the first week of March, but as indicated in our Nightly Briefings, we expect choppy consolidation in equity markets during the second half of January. As famed investor Jessie Livermore once said, “always sell too soon.” We will sell APA now and systematically offload our energy positions by holding OIH for more upside into next week, as it may break out to $212. However, we would put tight stop-losses in to protect profits in case we top today or tomorrow. Crude is at our first target of $80 today. Should this advance continue, the next target is $82-$83.