Gold targets 2012 highs, S&Ps continue rally

Daily Market Analysis (SHORT TERM) Wednesday 09/19/12

ENERGIES

Brent Crude Oil (November):

  • Short Term Trends are bullish.
  • Confirmation of a top with a range violation on 09/17/12 @ 111.99. Confirmation of a bottom with a close violation on 08/31/12 @ 114.57. Upside Target = 122.19 – 124.11.
  • Possible confirmation of a top with a close @ 111.49 or lower. Possible TREND REVERSAL to bearish on a close @ 111.10 or lower.
  • November Brent Crude sank lower in Tuesday trading after failing to attract any buyers once it traded above Monday’s mid-range as the market sank lower in the second half day of trading.
  • Should Brent break through $1111.50 it will generate new six-week lows and possibly extend the downside losses to $106.50.
  • Projected Daily Range: 2.56
  • Projected Weekly Range: 6.18
  • Projected Monthly Range: 1305

WTI Crude Oil (November):

  • Short Term Trends are bullish.
  • Confirmation of a bottom with a range violation on 09/04/2012 @ 96.93. Confirmation of a bottom with a close violation on 09/11/2012 @ 97.17. Upside Targets = 100.04 – 101.56.
  • Inside compression day generated on 09/19/2012. Possible confirmation of a top with a range violation @ 94.97. Possible confirmation of a top with a close @ 94.97 or lower.
  • November WTI Crude Oil continued its decline lower on Tuesday as, like Brent, it was unable to garner any momentum and was sold aggressively above the daily mid-range and closed at its lowest price in September.
  • Tuesday’s weak technical price action suggest that this market should move lower to retest the four-week lows, however, expect for strong support to come into the market between $94.28-$93.34.
  • Projected Daily Range: 2.21
  • Projected Weekly Range: 4.42
  • Projected Monthly Range: 10.76

Natural Gas (October):

  • Short Term Trend is bearish.
  • Confirmation of a top with a range violation on 09/17/2012 @ 2.919. Confirmation of a top with a close violation on 09/17/2012 @ 2.865. Downside Targets = 2.778 – 2.705.
  • New lows made on current move Tuesday @ 2.755. Downside Target 85% achieved.
  • October Natural Gas dropped sharply lower on Tuesday, closing at its lowest level in seven trading sessions and trading to within 5 cents of the weekly downside target of $2.702.
  • As mentioned in yesterday’s report, because natural gas was able to exhibit a wide range and weak close (good for a short position), this market should continue lower toward the downside targets before finding any support just below $2.70.
  • Projected Daily Range: .143
  • Projected Weekly Range: .281
  • Projected Monthly Range: .665
About the Author
Jim Parrish and Kris Hicks

Parrish Hicks Capital Research is a trading and technical analysis firm that specializes in Energy and Metal commodity futures. The two founders, Jim Parrish and Kris Hicks, have a combined 38 years’ experience 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. They also called the all-time high day for Gold on September 6, 2011 and forecasted a projected downside target of 1528.10 in March 2012.  Their trading methodology has a high degree of accuracy which confirms tops/bottoms, projected trading ranges and projected targets for those ranges. Their expertise is focused on 16 commodities plus the comparable ETF markets. You can reach them at Jim@ParrishHicks.com and Kris@ParrishHicks.com or at www.ParrishHicks.com.

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