KEY TERMS
OVB Outside Vertical Bar
VRCB Volatility Reduced Compression Bar
ENERGIES
Brent Crude Oil (March ‘13):
- Short Term Trends are bullish.
- Confirmation of a bottom with a range violation on 01/15/13 @ 111.23. Confirmation of a bottom with a close violation on 12/12/12 @ 107.17. Upside Targets = 117.89 – 121.21.
- Possible confirmation of a top with a range violation @ 115.31. Possible confirmation of a top with a close violation @ 115.31 or lower.
- March Brent Crude dropped lower on Monday for its biggest decline in almost three weeks as Monday began a “risk-off” deleveraging effect because of increased worries in Europe and possible profit taking after a nearly $10 move higher in January.
- Look for a slight setback in Brent prices this week as a healthy correction is needed to lure more buyers into the market as the oil complex is still technically very bullish and should ultimately crack the $120 mark before Q1 ends.
- Projected Daily Range: 1.50
- Projected Weekly Range: 3.26
- Projected Monthly Range: 6.75
WTI Crude Oil (March ‘13):
- Short Term Trends are bullish.
- Confirmation of a top with a range violation on 02/01/13 @ 96.83. Confirmation of a top with a close violation on 02/04/13 @ 96.17. Downside Targets = 94.84 – 93.99.
- March WTI Crude Oil fell sharply lower on Monday for its largest single day drop in two months to close back near the $96 mark and near the 20-day moving average.
- Expect for this current sell-off to be short lived and the market to ultimately find some support just below $95 and bulls to return and push the market back above $100 for the first time since September.
- Projected Daily Range: 1.57
- Projected Weekly Range: 2.61
- Projected Monthly Range: 6.42
Natural Gas (March ‘13):
- Short Term trend is bearish.
- Confirmation of a top with a range violation on 01/24/2013 @ 3.501 Confirmation of a top with a close violation on 01/14/2013 @ 3.454. Downside Targets = 3.415 – 3.379.
- Possible confirmation of a bottom with a close violation @ 3.345 or higher.
- March Natural Gas had quite a volatile start to the session on Monday before consolidating out to the side in the second half day of trading forming a 4 day close cluster pattern.
- Look for natty to move back to the upside in early trading Tuesday before hitting heavy resistance as it nears $3.40 and then falling back to retest last week’s lows.
- Projected Daily Range: .119
- Projected Weekly Range: .250
- Projected Monthly Range: .492
