E-mini S&P plunge could continue to 1334

Daily Market Analysis (SHORT TERM) Tuesday 11/13/12

ENERGIES

Brent Crude Oil (January ‘13):

  • Short Term Trends are bearish.
  • Confirmation of a bottom with a range violation on 11/06/12 @ 110.27. Confirmation of a bottom with a close violation on 11/06/12 @ 110.27. Upside Targets = 112.48 – 114.73.
  • January Brent Crude gave back some of its early gains on Monday to finish in the lower 35% of the daily trading range as the spread between itself and the spot WTI contract narrowed to $22.58 after failing to break through last week’s OVB high.
  • Although the technical indicators still suggest that Brent should trade through $110.69, the volatility in the market over the past week has been unpredictable at best and could move lower back near $106.
  • Projected Daily Range: 2.39
  • Projected Weekly Range: 5.27
  • Projected Monthly Range: 10.65

WTI Crude Oil (December):

  • Short Term Trends are bearish.
  • Confirmation of a top with a range violation on 11/07/12 @ 84.33. Confirmation of a top with a close violation on 11/07/12 @ 84.33. Downside Targets = 81.36 – 78.69.
  • Inside VRCB generated on Monday.
  • December WTI Crude Oil moved back slightly lower on Monday in a compressed trading range due in large part to Veterans Day as it was unable to follow through on Friday’s bullish OVB.
  • Look for an early retest of $85 on Tuesday where the market finds support near $84.65 before trying to stage a rally.
  • Projected Daily Range: 2.23
  • Projected Weekly Range: 4.75
  • Projected Monthly Range: 10.61

Natural Gas (December):

  • Short Term trend is bearish.
  • Confirmation of a top with a range violation on 10/25/12 @ 3.751. Confirmation of a top with a close violation on 10/26/12 @ 3.724. Downside Targets = 3.501 – 3.476.
  • New lows made on current move Monday @ 3.470.
  • December Natural Gas traded one tick through the contract close gap left from the November contract before reversing course early in the session and led the market back higher near $3.60.
  • While Friday’s bearish close indicator was fulfilled with the weekly low having been violated, Monday’s price action lends itself to the possibility of a bullish OVB week should natural gas trade through $3.621 and sets up the possibility of an extended run higher near the contract highs of $4.
  • Projected Daily Range: .119
  • Projected Weekly Range: .297
  • Projected Monthly Range: .624
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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