I bought some DUG(stop exit 17.17, target exit 22.50) yesterday based on a few charts.
USO- Oil has had a good run up lately and gapped up yesterday to resistance. The Stoch are overbought bought and that candle looks weak after a gap up.
So that was looking like a good short, so I looked at DIG the opposite of DUG
DIG has more resistance above and there is resistance of the down trendline. Also DIG's candle yesterday is a shooting star and also bearish. Confirmation of this reversal will be needed today though.
So then that leaves us with DUG: During the day looked to be making a nice double bottom, which it almost did, but it is bullish since it and hasn't made a new low. Yesterday's candle is bullish forming a hammer after 4 days down. A break above 18.50 to 19.00 will also be a break of down trendline from past 4 days.
