Unleaded gasoline is leading the energy markets higher. Look for heating oil to break resistance at 19245 as unleaded climbs. Crude oil is caught between bull and bear forces and natural gas is defined by choppy sideways trading.
June crude oil
Price action is caught between bull and bear forces. The market is well supported at the $65.10 level. A dip below $65.10 targets $64.00. While a close below $64.00 initiates further selling to test $62.50 key support. A close above $65.50 is bullish and should propel trade to attack $67.45.
June natural gas
The market has been in an $11 trading range since the beginning of the year between 6999 and 8099. This week’s price action is poised to test the upper end of that trading range. Stable trade above 7500 should build for attacks on the 8099-resistance level.
June heating oil
Prices are up against recent highs. Stable trade above 18750 should base and then build to attack the 19245-resistance level a close above 19245 is bullish and could trigger a buy signal with a target of 197-199. A dip below 18750 targets 18450.
June Rbob unleaded gas
The market is on fire. Be on guard for a violent pull back to test the 21585 level.
A close above 22650 should spark further buying. Look for the market to continue the rally this week while at the same time being cautious for a violent pull back to test support and confirm the rally.
Ralph D. Preston III
Heritage West Financial Inc.
(858) 560-2646
rpreston@heritagewestfutures.com
www.heritagewestfutures.com
Past performance is not necessarily indicative of futures results. The risk of loss is present in trading futures and options.
