jackfutu18
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One week gone, just check to see is there any change in energy market from energies review by Pitguru:
"The energy market was positive last week as crude oil touched a low of $69.50, but also broke the triple top of $75.60 as the Euro continued to rally from the lows, helping spur commodity demand. There really was no other reason as to why crude oil rallied other than a surprising inventory report as the market has digested horrible unemployment and manufacturing data all the while bypassing these numbers to try and trade above $75. The real winners were gasoline, heating oil, and natty gas as these markets rallied better than the WTI with the gas and heat cracks moving higher. WTI spreads have been liquidating the last three days from a high of -83 in Jul/Aug to trade at -158 as traders sell the front months with the supply issue still at a very big surplus. It does feel like crude wants to rise above this $76.30 level as it seems to have put a base in around $70 as the market now sees higher lows and higher highs. Negatives for the market include weaker WTI spreads, a weak arb (July WTI is lower than July brent by 40 cents) and high inventory reports. Positives include a rallying Euro, momentum in the equity and commodity space, and ignorance for the weak economic data. It seems the market is in a deadlock and this is why it trades right in the middle at $75.
Natural Gas again showing traders why they need to be in this space with July Natural rallying to $4.89, once again trying to reach that $5.00 mark. With the breakout above $4.40 this market now sees support at $4.40 to $4.60. For traders who have gotten into some nice calls, I would recommend pulling the register on a small percentage as the previous resistance of $5.00 will be as strong the second time around."
"The energy market was positive last week as crude oil touched a low of $69.50, but also broke the triple top of $75.60 as the Euro continued to rally from the lows, helping spur commodity demand. There really was no other reason as to why crude oil rallied other than a surprising inventory report as the market has digested horrible unemployment and manufacturing data all the while bypassing these numbers to try and trade above $75. The real winners were gasoline, heating oil, and natty gas as these markets rallied better than the WTI with the gas and heat cracks moving higher. WTI spreads have been liquidating the last three days from a high of -83 in Jul/Aug to trade at -158 as traders sell the front months with the supply issue still at a very big surplus. It does feel like crude wants to rise above this $76.30 level as it seems to have put a base in around $70 as the market now sees higher lows and higher highs. Negatives for the market include weaker WTI spreads, a weak arb (July WTI is lower than July brent by 40 cents) and high inventory reports. Positives include a rallying Euro, momentum in the equity and commodity space, and ignorance for the weak economic data. It seems the market is in a deadlock and this is why it trades right in the middle at $75.
Natural Gas again showing traders why they need to be in this space with July Natural rallying to $4.89, once again trying to reach that $5.00 mark. With the breakout above $4.40 this market now sees support at $4.40 to $4.60. For traders who have gotten into some nice calls, I would recommend pulling the register on a small percentage as the previous resistance of $5.00 will be as strong the second time around."
