Gold targets 2012 highs by week’s end

Daily Market Analysis (SHORT TERM) Thursday 09/20/12

ENERGIES

Brent Crude Oil (November):

  • Short Term Trends are bearish.
  • Confirmation of a top with a range violation on 09/17/12 @ 111.99. Confirmation of a top with a close violation on 09/19/12 @ 111.10. Downside Targets = 107.18 – 106.50.
  • TREND REVERSAL to bearish @ 111.10.
  • November Brent Crude dropped sharply lower on Wednesday as small traders exited their positions on fear of getting popped again by HFTs while trading to within less than $1 of the downside price objective listed in Wednesday morning’s report.
  • Brent should find strong support at the aforementioned downside targets before making a move back to near last week’s high.
  • Projected Daily Range: 2.73
  • Projected Weekly Range: 6.18
  • Projected Monthly Range: 1305

WTI Crude Oil (November):

  • Short Term Trends are bearish.
  • Confirmation of a top with a range violation on 09/19/12 @ 94.97. Confirmation of a top with a close violation on 09/19/12 @ 94.27. Downside Targets = 89.28 – 86.44.
  • November WTI Crude Oil followed Brent prices lower on Wednesday after an enormous build in supplies brought the market to within less than a $1 of generating new seven-week lows.
  • Expect for WTI to make a break below $90 to run stops before finding additional support and making a move back to the upside.
  • Projected Daily Range: 2.63
  • 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 09/17/12 @ 2.919. Confirmation of a top with a close violation on 09/17/12 @ 2.865. Downside Targets = 2.778 – 2.705.
  • New lows made on current move Wednesday @ 2.737. Downside Target 90% achieved.
  • October Natural Gas traded just five ticks through the mid-point of the downside targets on Wednesday after failing to hold an early morning short-covering rally as it moved back toward the session’s low, closing slightly lower on the day.
  • Expect for NG to move back toward the weekly lows in early trading on Thursday before the storage numbers are released as it moves ever closer to achieving 100% of the downside target.
  • Note: If new lows for the month are made below $2.647, the month end downward objective is $2.405.
  • Projected Daily Range: .135
  • Projected Weekly Range: .281
  • Projected Monthly Range: .665
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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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