The crude oil market is at a crossroads. The question is, are we at a multi month top or are we about to witness a runaway market climb to higher. This week’s all time closing high above the front month’s previous contract high hints at higher prices as momentum pushes the market higher. Although a close below $76.50 nullifies the recent breakout.
October crude oil
The market is bullish and a close above $80.65 per barrel unleashes another wave of buying targeting $82.00. Stable trade above $78.15 keeps the market poised for further advances. A close below $78.00 damages the breakout while a close below $76.50 hints at a turn to lower prices.
October heating oil
The market is bullish and a close above $2.2350 per gallon unleashes another wave of buying targeting $2.2750. Stable trade above $2.1550 keeps the market poised for further advances. A close below $2.15 damages the breakout while a close below $2.12 hints at a turn to lower prices.
October Rbob unleaded gas
The market is bullish and a close above $2,0710 per gallon unleashes another wave of buying targeting $2.12. Stable trade above $2.00 keeps the market poised for further advances. A close below $1.99 damages the breakout while a close below $1.97 hints at a turn to lower prices.
October natural gas
The market is in the midst of a bottom turn bouncing off of $5.250 per mmbtu weekly support. Monday’s close above $6.482 emboldens the bulls to take prices higher targeting $6.801. Only a close below $6.00 hurts reversal emboldening the bears to keep control of the market.
Ralph D. Preston IIIHeritage West Financial, Inc.rpreston@heritagewestfutures.comwww.heritagewestfutures.com
Past performance is not necessarily indicative of futures results. The risk of loss is present in trading futures and options.
