DUG Divergence Take a look at the DUG chart below. Notice that RSI has made a higher low while price action has made a lower low. The ETF, which is short oil and gas, is also extremely oversold. I took a small position this morning. Share this:TwitterFacebookLike this:Like Loading... 5 thoughts on “DUG Divergence” Add yours I’ve been trying to research this fund to see how and how well it meets its objective of returning twice the inverse of the DJ Oil & Gas Index.Looks like they credit default swaps to do this.Do you think this is a good vehicle for shorting oil? LikeLike Reply Nice.I took a long position in DUG today as well. I highlighted my entry on my blog today. LikeLike Reply Nice call here. I put in a limit order on the DUG yesterday afternoon but it got away from me. I think this is a real good setup. LikeLike Reply Wow, your DUG trade was unbelievably well-timed! LikeLike Reply Great blog and congrats on a well-timed trade. The volume on DUG over the last several days is astronomical. LikeLike Reply Leave a Reply Cancel reply Enter your comment here... Fill in your details below or click an icon to log in: Email (required) (Address never made public) Name (required) Website You are commenting using your WordPress.com account. ( Log Out / Change ) You are commenting using your Google account. ( Log Out / Change ) You are commenting using your Twitter account. ( Log Out / Change ) You are commenting using your Facebook account. ( Log Out / Change ) Cancel Connecting to %s Notify me of new comments via email.