Sunday, February 21, 2010

Best oil ETFs to buy and to sell

Oil prices have been quite erratic lately, in great part due to the volatility of the US Dollar. We looked at the RSI (relative strength) values of all oil ETFs in three time frames.

- Daily: short term
- Weekly: medium term
- Monthly: long term,

These are the values, ordered from low to high, i.e, from oversold to overbought.

Short term:

Most oversold are DTO, SZO and HOD.TO, all leveraged oil shorts.
Correspondingly, most overbought are USO, and UGA (long oil and gasoline)

Medium term:


Interestingly, the medium term order is the same as the short term.

Long term: 

In the longer time frames, DUG is the most oversold, while there are really no overbought ETFs (the closest being OIH).

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