Public trading strategy
Oil prices spike on Iran strikes — accumulate energy stocks on supply fears
Thesis
The combination of US military strikes on Iran and the complete revocation of Iran's global oil sales license creates an immediate supply shock in the energy markets. Oil prices have already jumped over 5% to a two-week high, and with the ceasefire officially declared 'over', this geopolitical premium is likely to persist or escalate. Traders can play this supply shortage by going long on domestic oil producers or broad energy ETFs, which directly benefit from rising crude prices.
Strategy approach
Build a rule-based momentum strategy on USO using the H4 timeframe. Enter a long position when USO breaks above its 10-period high on the H4 chart. Exit the position if USO drops below its 20-period low. Hold for a maximum of 14 days.