What’s Been Getting The Lead Out?
April
unleaded gasoline
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PowerRating), the leading contract on the Momentum-5
List, surged to a new contract high on
concerns that tight supplies will drive prices higher going into the peak summer
driving season. Rising demand, up 9% year-on-year, in the face of cutbacks of
crude oil output from OPEC, helped fuel the rally.
Unleaded gapped sharply higher last week after the
American Petroleum Institute’s weekly report showed an unexpected draw down in
inventories and sparked fears of a supply imbalance. The strong rally this
morning took the contract to a session high of 1.0020 before settling .9915
higher at .0023.
Unleaded gas made good on an
Off The Blocks
setup. This strategy utilizes the Momentum-5 List or Implosion-5 List with specific
entry and stop-loss points to get in on the strongest momentum (either up or
down) markets. Intraday, unleaded also provided entry before leaving a hammer
where traders took profits once the contract traded above 1.000.Â
Unleaded’s rally prodded related energy futures to trade
higher as well: crude oil
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rallied .29 to 27.35, heating oil
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.7358, and natural gas closed .092 higher at 5.480.Â
Stock index futures
traded flat after an initial rally and then got going again late to finish green
across the board. Nasdaq 100 futures
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closed 10.00 higher at 1150.20, and Dow futures finished up 55.0 at 9930.0.
In the currencies, the
British pound
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the
New 10-Day Highs List. Similar to momentum contracts such as unleaded
gasoline mentioned above, pounds made good on an Off The Blocks Entry, rallying
more than .0130 before closing .0090 higher at 1.4448. Pounds decoupled from European
currency futures, where the euro FX and Swiss franc closed lower.Â
Declines in European futures and a gap-down move
triggering a Pullback From
Low setup and close .0071 lower to .8068 in the Japanese yen
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PowerRating),
spurred the dollar to a gain of .50 to 115.40.
Interest rate futures traded lower on the positive
showing in stock indexes. T-bonds
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while Momentum-5 Member
10-year notes
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In the grains, soybean oil
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from soy beans. Even though beans
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made good on its Implosion-5 List
reading to close .0500 lower at 15.5100.
April live cattle
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PowerRating) made good early on their Turtle Soup Plus One
Sell setup before turning to end one tick higher at 79.775.