Technical & Fundamental Oil Reports Specialists

Follow us

Stuck and not harmonious. Watch RBOB at the 34s.

Published Tuesday, June 7th, 2016

Introduction.  The market is still range bound and struggling at resistance. The contracts are not harmonious – the crudes and Heat are above the short term (s/t) MAs and the former have positive stochastics, whilst RBOB and Gasoil are both below all the s/t MAs and have negative stochastics. RBOB lost some 188 points yesterday whilst Heat gained 150. The s/t MAs are performing as springboards to resistance on the crudes and to a lesser extent on Heat, and are a trapdoor to next support on RBOB. The upside potential on all but RBOB and Gasoil is being restricted by repeated failures at range resistance. Watch RBOB carefully. It has completed a price cycle lower from the s/t MAs to the 34 day MA, yesterday at 158.35 – low of 158.27. The 34 day is at 158.60, with the continuation at 157.72these are key supports today. If RBOB starts to move below the 34s the rest will have trouble moving higher. If they hold then we could easily see resistance under pressure again – observe RBOB carefully.

to read the rest of the report, please click here

Posted by Robin Bieber