Summarize the transcript of a YouTube video in 10 bullet points. The video is by The Contrarian Trader and is titled Unveiling the Best Crude Oil Trading Strategy. The entire transcript is given below.
folks welcome to my technical analysis on light sweet crude crude oil uh this is the next commodity that I think is going to be going up higher in the next couple of months uh I think that it did a really really nice job last week we’ll go over the charts in a moment nice bullish key reversal bar I love that pattern if you’re not familiar with the terminology of Candlestick charting I have a link below my five-part video tutorial my top five favorite Candlestick patterns free that’s it also we’re going live tomorrow night’s 6:00 p.m. Eastern Standard time we go live every Sunday and Thursday so click that Bell button to get notified if you’re already on our email list you’re going to get notified anyway and like subscribe you know the deal let’s talk about the wise behind I think oil is going up we’re going to talk about the crb commodity index we’re going to talk about natural gas we’re going to talk about seasonal 4 crude prices so a lot to get to I want to try to do it very quickly clear crisp concise let’s get to it so what you’re looking at here is a chart of the crb commodity Index this is a basket of Commodities okay so oil is included in here A bunch of other stuff as well it is up 9% so far on the year and I think that this is just getting started early Innings and now I made the call on natural gas a couple of months ago now that I thought that natural gas was done going down that is always step one to calling a bottom in a bare Market you must stop going down so we’ve traded in and out of natural gas mostly successfully and now we’re seeing a beautiful beautiful Candlestick on this monthly chart we are up against resistance so we may get a pull back fairly soon and on the quarter up nearly 50% this quarter alone with one month month a month and a half left to go a little bit less than that so uh natural gas we made this call uh hit it out of the ballpark and now we’re looking at crude prices we are long of crude prices we are along using the Futures contracts I have a bunch of Futures contracts I’m probably going to be selling some puts this week on the Futures slcl is the symbol you could buy Uso either puts sell puts on the uh Uso or you could buy calls you could buy the Uso you can find a leverage product out there that puts you long of oil many different ways to trade oil with different account sizes so I have a membership base that has got a a bunch of different account sizes so I try to provide them as many options as possible pardon the pun no pun intended so let’s talk about oil for a moment oil this is a daily chart of the Uso and you can see here that we are putting in a beautiful beautiful textbook cup with handle formation and guess what we did last week we broke out of this descending wedge formation which is a very very bullish setup now we want to do a deeper dive here how do we do on the week we want to know what we’re doing at the higher level we want to it’s not enough to know what the stock or the commodity cupcakes whatever you’re trading what did we do from a 10,000 fot view meaning the weekly chart then a 20,000 foot view meaning the monthly chart how are we looking so how are we looking here is really really nice on the week last week as I mentioned earlier we flashed a bullish key reversal bar I still worry about these stochastics you may be looking and say what’s with these two squiggly lines what that’s a measure of is momentum momentum is kind of uh neither here nor there yet it’s 50/50 so we only had one up week out of the past four so it’s going to take another week or so of upward move to drive these lines up higher the upshot is is that on a weekly chart RSI which is another momentum indicator however a little bit more sensitive to the uh short-term volatility or the short-term performance of your underlying in this case oil so what I look at here is I want to see the trend the trend is up we have higher lows good stuff we found support at the neutral level at 50 good stuff we did a hockey stick up we like that so weekly chart green light looking really really good here now taking a look at the monthly chart uh a very very good performance this is a great exercise in technical analysis so what we did back here in March March yeah uh is that we broke broke out Above This fractal resistance level but we were stopped at the 78.85 mark on the Uso and we were rejected in an effort to break out in April so what we did is that we pulled back meaning Uso oil a pulled back to 7425 what does that represent represents prior resistance it’s now support so while we’re still down on the month all down months are not made equal what does that mean well if we were trading down at the lows of the month right now I’m recording this on May the 18th if this was down at the lows of the month i’ say this is a pretty bad month however knowing what the daily and weekly chart look like at current and the fact that the monthly chart is well off the lows of the month I’m pretty excited even though we’re down on the month I’m pretty excited because we are armed with knowledge of what next month historically brings what am I talking about I’m talking about seasonality so let’s talk about seasonality for a moment and we’re using Trend spider if you want this functionality automated technical analysis seasonality charting analyst estimates on an individual stock unusual options activity Bots I mean so much here and you can even incorporate your brokerage into s signal stack which ties in with transend spyer 35% discount code below use the discount code Co N35 back to the show okay so seasonality this is one of my favorite tools on Trend spider and you can see here that Uso let me blow this up Uso going back to 18 years this is a lot of data 18 years here’s the month of May we’re down 37% this is the second worst month out of the out of the year but think about it we’re off the lows of the month we broke out on a daily and a weekly time frame and when we take a look at June June is one of the better months out of the Year trading up 61% of the times this is why I B bought the July Futures contracts on light sweet crude so we have seasonality going for us we have technicals which are improving dramatically we just need confirmation on the monthly chart new monthly higher highs ideally we close this month up and buck the seasonality for May that would set us up very very nicely for June also over the weekend oil tankers struck by missile off the Yemen Coast so this I’m surprised they’re still sending tankers through uh the Red Sea to be attacked by the hoodie Rebels they have still yet to be brought under control so uh this is going to put a bid under oil prices probably on Sunday night when the Futures markets open so join us 6 PM Eastern Standard time we’ll be leading off with that chart to see whether or not we get a bid on oil prices if we do get a big move up higher in oil prices I’ll probably sell my existing position reestablish on any pullback this should probably be only a one day blip on the chart uh so we may just scalp a profit here then reenter on any pullback so I may just even just close that half of the position and reestablish on a pullback if we do get the pullback it may not pull back so that’s why I’m saying half now so that’s the game plan moving forward uh I called it on natural gas I’m making the call now on oil I think oil is going up higher and inflation is just on a tear and we’re going to be talking a lot more about inflation on Sunday night Futures Live join us there till then have an awesome awesome remainder of your weekend and have a profitable trading week I’ll talk to you soon be well