The main stream media is attributing the big stock sell off with falling oil prices. Of course, in the past this same reasoning was used to justify a strong stock market with the mantra that low oil prices were like a tax break on businesses, cutting energy expenses across the board. This is the bullshit that pass for "fundamentals" these days and all the main stream media is chanting the same crap.
So watch them change their story when oil starts rising (which I model should begin any time now). When you see this, take the lesson that I have been presenting for a long time now which is that main stream financial news is complete bullshit, has nothing to do with where stock prices are going and always tends to predict more into the future of what just happened in the past. They sell it with good looking men and women who present themselves with strong speaking voices and confident statements because the herd always falls for that crap. It's why true leaders like Ron Paul could never get any traction - "no charismatic enough" as if that is what defines a true and honest and right minded leader. Still, this is a part of human nature and so there is no use complaining about it. Understanding it and avoiding getting caught up in herd think is the best we can do as individuals.
USO is down another 2.3% today forming W3 of 5. I model that it will bottom before the close today and then begin heading back up with a strong up day tomorrow.
RUSL apparently cannot wait for it to bottom. RUSL has now put in 5 small waves up off the bottom and this appears motive. If I'm right about this, RUSL is about to enter a 3rd wave up in which rapid percentage gains should be seen over short time frames. It is always lower confidence trying to pick the exact bottom or exact top than to wait until a trend is established but if you wait for the trend then big percentage points go by the wayside. I'll say again, my model likes RUSL here, stops at $15.60.
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