Technical & Fundamental Oil Reports Specialists

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Stuck. Watch RBOB for clues.

Published Friday, October 16th, 2015

Introduction. The technical picture is improving slightly.  Last night the contracts were still all below the short term (s/t) MAs with negative stochastics, but no targets lower. This is still the case but some of the contracts have, overnight, moved just above the 5 day MAs. This muted recovery is precarious but it’s a start. There remain no targets lower at the moment – the support, mentioned by contract later, is holding. A good guide is still to watch RBOB and use its two key levels at 130.00 support and 133.71 resistance as key pivots. Moves confirmed by closes (m/c) beyond either of these extremities will likely give us the next leg.  WTI has held support and just poked its nose over the 5 day MA around 46.71. Below that it has the two 34s day MAs at 46.40 and 46.13. There is no objective lower until 46.13 is m/cd below and then the target would become 44.72. Meanwhile initial resistance is at the 13 day around 46.97 and the c/p at 47.24 followed by the 8 day around 47.55. It would need a m/c over 47.55 to give this contract some valid upside.

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Posted by Robin Bieber