Pairs Trading Corner With Gas & Oil Across The Globe (TOT -E)…

(Total, SA – ENI, SA ) Travel & Adventure!, with two ADR’s from Paris & Roma, and traded on the NYSE, that have been favourites in the past. However, it has been a while since we’ve been able to consider the pair lately. I’m liking this set-up with long term resistance of $21.09, and we will just call it $21.00 for old time sake. Also with all of Mother Nature’s shenanigans going on, I think I will initiate with a half-sized position, and then look to add a layer if opportunity presents. Lastly, “TOT” has $0.6785 dividend on 9/21, and “E” has a $0.95 dividend on 9/18. Ok, now a closer look at the technicals below..

Technically speaking, the pair has excellent correlation 0.94+, and the expected range of travel is about 0.40+/- to 0.50+/- above/below the 10 SMA, with an expected short entry of $21.0+. The RSI Wilder is mid-way with a value of 53.9, and should move higher to 90+ as the pair moves toward resistance. I have the pair in pending trades will feature as “Pair Of The Day” in the next trading day’s edition of “ShadowTraderPro Pairs Trader” posted daily at “MyTrade”.. ; )

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