Technical & Fundamental Oil Reports Specialists

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Don’t trust rallies. Range bound. Use the s/t MAs as pivots. Watch RBOB.

Published Monday, June 6th, 2016

Introduction. The technical picture has hardly changed from Friday, which is why the heading to this report remains unaltered. The contracts are stuck in a range where the short-term MAs are acting either as trapdoors to range support or springboards to range resistance. It is not much more complex than that. On Friday night every contract closed below the s/t MAs, which is bearish, but this morning it has rallied a bit and the action is above some of the s/t MAs. Apart from Brent every contract has at least one s/t MA above the market as resistance. In addition, the daily stochastics are all negative, which is going to make any rally hard work. The weekly stochastics are high and wavering, and negative on RBOB. This seriously questions the longevity of any rally. The odds are on another failure today.

to read the rest of the report, please click here

Posted by Robin Bieber