Technical & Fundamental Oil Reports Specialists

Follow us

The contracts are directionless at the moment

Published Friday, September 19th, 2014

The contracts are not neutral-to-slightly-positive anymore, they are firmly neutral. All it would take is a good performance today to turn the sentiment bullish but equally a weakening of prices and closes below supports will paint a bearish picture for next week. It is still advised to stay put and keep the gunpowder dry.

October ICE: The contract did not quite get up to the 52.40/50 range resistance and it did not close below the daily short-term daily M/As either. The morning’s price action has already seen a bigger range than yesterday’s with the price dropping below the short, medium and long-term M/As only to recover and be back above all of them apart from the 5-day. For the sake of good order the 5-day is currently at 51.24, the 8-day is at 50.68 and the 13-day is at 50.58. A close over the former should have this contract jump to the 52.40/50 range next Monday whilst a close below the 13-day could easily send the price down to the 34-day (50.21) and to the 100-day (49.91). The immediate range is therefore 50.58-51.24 and the slightly wider one is 49.91-50.40/50.

to read the rest of the report, please click here 

Posted by Tamas Varga

Tamas Varga has been in the oil industry since 1992 and with PVM for 18 years. During his time in the industry he has gathered a range of experience in the oil markets. At PVM Tamas is in charge of data collection and analysis.