KEY TERMS
OVB Outside Vertical Bar
VRCB Volatility Reduced Compression Bar
ENERGIES
Brent Crude Oil (July ‘13):
- Short Term Trend is bearish.
- Confirmation of a bottom with a range violation on 04/20/13 @ 100.34. Confirmation of a bottom with a close violation on 04/20/13 @ 100.39. Upside Targets = 106.40 – 108.61.
- Possible Short-Term TREND REVERSAL to bearish with a close @ 103.50 or lower.
- July Brent Crude dropped to close below $104 on Tuesday for the first time in 3 trading sessions as the market was unable to build upon Monday’s strong price action after hitting 80% of the ST upside objective.
- While Brent may move initially lower on Wednesday, only a close below Tuesday’s low will signal an end to the recent ST rally.
- Projected Daily Range: 1.55
- Projected Weekly Range: 4.85
- Projected Monthly Range: 9.59
WTI Crude Oil (July ‘13):
- Short Term Trend is bullish.
- Confirmation of a bottom with a range violation on 05/03/13 @ 94.26. Confirmation of a bottom with a close violation on 05/01/13 @ 94.26. Upside Targets = 97.92.
- Inside compression day generated on Tuesday. Possible Short-Term TREND REVERSAL to bearish with a close @ 95.46 or lower.
- July WTI Crude Oil sank lower on Tuesday in a narrow trading session after failing to make new highs for the month by just 3 ticks this week as ST stochastics are reaching peaking levels.
- Like Brent, expect for WTI to face some early resistance before the EIA storage report comes out as well as Fed Chairman Bernanke’s comments.
- Projected Daily Range: 1.69
- Projected Weekly Range: 4.68
- Projected Monthly Range: 8.93
Natural Gas (June ‘13):
- Short Term Trend is bearish.
- Confirmation of a bottom with a range violation on 05/14/13 @ 4.021. Confirmation of a bottom with a close violation on 05/14/13 @ 4.024. Upside Targets = 4.195 – 4.243
- New highs made on the current move Tuesday @ 4.210.
- June Natural Gas was unable to follow through on Monday evening’s bearish price action to fill the weekly close gap still left in the market from last week as it moved to its highest levels since the bearish ERVB down day on 05/02.
- Tuesday’s strong close and confirmed bullish price action could lead to more gains on Wednesday before this week’s storage number, however, it is currently between the mid-point of the ERVB down day and the 61.8% Fib retracement values from the contract and annual highs, which may entice new short sellers.
- Projected Daily Range: .136
- Projected Weekly Range: .283
- Projected Monthly Range: .570
