Technical & Fundamental Oil Reports Specialists

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Watch RBOB at 308.26 for clues

Published Tuesday, April 22nd, 2014

The trend remains up. Dips to the 5, but in most cases, the 8 day MAs are holding. The stochastics are a bit too high for comfort, and negative in WTI’s case, but they can stay that way for a while and the market still go higher. The next leg will depend on RBOB holding the continuation support at 308.26 – if it does it will have a target higher to 310.95 and keep the rest steady at the same time. It is not advised to be short. The next leg higher is being impeded by strong resistance in every case – 104.48 WTI; 110.06 Brent; 301.36 then 301.94 Heat; and 925.50 Gasoil. Moves and closes above here are buys for the next leg higher. MayWTI needs to close over 104.48 to have an objective higher, but this would best be manifested in the June contract, which needs to close over 103.45 to have an objective higher to 104.99. Meanwhile the May is over the 5 and 8 day support around 104.07 and 103.94. These are around 103.29 and 103.08 on June – the latter must hold or this contract heads lower.

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Posted by Robin Bieber