What’s Up, What’s Down: Spotlight on Energies
Comments for March 7, 2011
Looking ahead to Monday by reflecting back on Friday’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
LIBYA DOMINATES THE ENERGY SECTOR; THOUGH NATURAL GAS MAKES A NEW CONTRACT LOW
ENERGIES: 3/7/11 Higher closes last Friday for the crude and heating oil along with the rbob and natural gas.The heat, crude and rbob all settled higher with the Lybia situation still the driving factor although the oil hasn’t disappeared so, if your are long the futures, be careful that you don’t get caught if some bearish news comes out. The heat and crude made their highest highs and closes since Sept/-oct. 2008 while the rbob made a NEW CONTRACT HIGH AND CLOSE. Meanwhile, natural gas made a NEW CONTRACT LOW before rallying to settle higher in reversal type action. Be careful there are several years worh of gas in storage. I don’t normally like spouting fundamentals but this should keep a lid on gas although it can still have good-size rallies. BUY SIGNALS FOR CRUDE AND HEATING OIL ALONG WITH THE RBOB. SELL SIGNAL FOR NATURAL GAS. CALL FOR DETAILS!
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.