What’s Up, What’s Down: Spotlight on Energies
Comments for June 16, 2011
Looking ahead to Thursday by reflecting back on Wednesday’s trading
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors
COULD THE BULL MARKET IN CRUDE BE COMING TO AN END?
ENERGIES: 6/16/11 Sharply lower closes yesterday for the crude and heating oil along with the rbob while lower for natural gas. The crude settle near 9500 (August contract) which in my opinion is an extremely important area to hold since the last time crude settled below 9500 was February 17th! Also breaking down out of what I think is a large bear triangle was significant. The bull market in crude may be coming to an end but we’ll see. The heat and rbob had their lowest lows and closes in three weeks. However, I still don’t have any signals for these energies at thist time. It looks like the crude is the closest to a sell though. Gas settled slightly lower still keeping me on the sidelines since the ninth although it’s forming a large possible bottom and could be bought around the 450 area on down in my opinion.
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. Email Rick at ralexander@zaner.com or call toll-free (888) 281-4158.
Futures and options trading is speculative in nature and involves substantial risk of loss. Futures and options trading is not suitable for all investors. The information in this Report and the opinions expressed are subject to change without notice. All known news and events have already been factored into the price of the underlying commodities discussed.