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PVM Technical Report 08 July 2016

Published Friday, July 8th, 2016

Introduction. The contracts all failed at the short term (s/t) MA resistances. Both crudes moved over the 5 and 8 day MAs and then fell apart at the 13s – WTI’s high at 48.25 was exactly where the 13 day MA came and Brent’s high at 49.59 was just 4c over the 13. Heat failed at the 34 day, with a high at 150.27 and the 34 at 150.21; RBOB faltered between the 5 and 8, and Gasoil violated the 13 by a bit and then plunged. It was as good an example as one will see of the power of the s/t MAs, and their destructive capabilities as resistance. The closes were very poor last night and the odds are, after a brief attempt to recover this morning, on lower numbers. Whilst WTI has a target lower to 44.80, valid whist below 45.83, the rest however are just over pivotal support and need to slide back below this support to green light the next set of objectives lower – see below for each contract. The 5 day gap has widened again with the gap around $1.20 or so on the crudes, and very wide on RBOB. However a $1.20 gap is not so wide so as to ring alarm bells, and is likely to cause only muted sellable recovery this morning.

to read the rest of the report, please click here

Posted by Robin Bieber