Upside oil expectations beginning to fade

Daily Market Analysis 01/27/12

KEY TERMS
OVB Outside Vertical Bar
VRCB Volatility Reduced Compression Bar
STT 1 Trend Based on a Range Violation
STT 2 Trend Based on a Close Violation
RBB Resistance Bollinger Band
SBB Support Bollinger Band

Energies

CLH12:

  • Trends are bearish.
  • Possible STT 2 confirmation of a bottom with a close @ 100.25 or higher.
    • March Crude traded just high enough this week to avoid becoming a weekly VRCB but retreated fast after violating last Friday’s high, dropping over $2.00 from the day’s high and closing back below $100.
    • Crude has failed to close above $100 on any day this week for the first time since late November.
    • Upside Expectations are beginning to fade.
  • Projected Daily Range: 2.32
  • Projected Weekly Range: 4.65
    • Has currently traded 4.08
  • Projected Monthly Range: 14.61

NGH12:

  • Trends are bearish.
  • Bearish OVB generated today after making new highs on current move @ 2.838. Upside Target over 125% achieved.
    • Nat Gas moved back into the direction of the technical trending pattern after shaking off some of the positive overtones out of the big producers.
    • A return back below 2.40 appears in the near future with a possible shot at the revised Q1 downside target of 2.161.
  • Projected Daily Range: .199
  • Projected Weekly Range: .320
    • Has already traded .549
  • Projected Monthly Range: .640

Parrish Hicks Capital Research is a trading technical analysis firm that specializes in Crude Oil (WTI). The two founders, Jim Parrish and Kris Hicks, have a combined 38 years experience in the commodity business and have accurately called the tops and bottoms of the Crude Oil market for the past eight months using their trading methodology to confirm tops/bottoms, projected trading ranges and projected targets for those ranges. Although their expertise is focused on Crude Oil (WTI), they also provide technical analysis on 30 commodity markets including the energies, metals, equity indexes, currencies, grains, meats, soft’s and interest rates. You can reach them at jim@parrishhicks.com and kris@parrishhicks.com.

About the Author
Kris Hicks

KMH is a trading and technical analysis firm that specializes in commodity futures and commodity based ETF’s. Kris Hicks has worked for numerous years in the commodity business and in 2011 accurately forecasted both $25 moves to the downside in May and July and the $25+ move to the upside in October in oil. He also called the all-time high day for gold on Sept. 6, 2011 and forecasted a projected downside target of 1528.10 in March 2012. He was also responsible for projecting the Q2 and Q4 low in the Euro FX to within 13 and 9 ticks, respectively. His trading methodology has a high degree of accuracy which confirms tops/bottoms, projected trading ranges and projected targets for those ranges. His expertise is focused on 16 commodities plus the comparable ETF markets. You can reach Kris at Kris@KMH-Capital.com or visit his website at www.KMH-Capital.com.

Comments
comments powered by Disqus
Check out Futures Magazine - Polls on LockerDome on LockerDome