With the exception of natural gas, energy markets are set to continue the bear slide. The trend-reversing pattern in natural gas has the market poised for further gains this week as traders pile on long position after September’s massive crash.
OPEC’s credibility appears tarnished by the lack of influence over price action after the group decided to cut production last week and prices continued to fall.
Dec crude oil
The market is bearish and appears set to continue selling off. A dip or close below $58.21 encourages another leg down and targets $55.80 a barrel. Trade that is contained under $60.54 should remain weak. A close over $61.05 is needed to halt the bears from continuing the sell off and a close over $62.69 alerts for a market reversal.
Nov natural gas
The market is staging a bull reversal targeting 7500. A close above 7500 signals a larger bull advance to 7808. A close below 6656 hurts bull forces and signals a retracement back to 6214 support.
Nov heating oil
The market is bearish and trade that is contained under 17236 alerts for further selling off. A close below 16311 encourages further selling off and targets 15864. A close above 17553 alerts for a market reversal.
Nov unleaded gas
The market is bearish and a close below the November contract low triggers a sell signal. Keep your stops. A close above 15158 stops aggressive bear forces and a push above 15543 alerts for a market reversal.
