What’s Up, What’s Down: Bullish Signals Still Abound for Energy Sector

Comments for Monday, June 22, 2009

Looking Ahead to Monday by Reflecting Back on Friday’s Price Action


Lower to sharply lower closes for last Friday crude and heating oil along with the rbob and natural gas. All of the energies continue to look higher overall with natural gas trying to catch up and give a buy signal but were hurt by today’s actions. Next week could tell the story if the run-up is over for now. Or maintain buy signals for crude, rbob and heating oil.

Crude Chart


Slightly higher closes for gold and platinum while slightly lower for copper and silver. Copper is still in an uptrend but forming a possible top at this time. The 22500 area (July) continues to be important to hold in my opinion. Gold settled higher while still in a bear flag and should continue lower overall. Silver settled slightly lower again still needing to hold the all important 14000 area (July) or else my buy signal will reverse into a bear one because it’s also forming a possible large top. Platinum settled slightly lower now in a bear pennant starting to look toppy but still in a long term bull market at this time. I’M holding Buy Signals Copper and Silver (but a Sell Signal on Gold).

Gold Chart


Lumber made its highest close since December 22 basis the July contract continuing to look very strong. There is very little resistance overhead. I’m bullish. Call or email for details.

Lumber Chart

See the balance of my morning comments, including the Metals, Softs, Energies and Grains, at my website. For my complete coverage, visit my commentary page at www.markethead.com.

Rick Alexander has been a broker and analyst in the futures business for over thirty years. He is a Vice-President for Sales and Trading at the Zaner Group (www.zaner.com) a Chicago-based futures brokerage firm. If you would like a free booklet explaining the charts mentioned above, email Rick at ralexander@zaner.com.