Brent made it to 115.40/60 as hoped but went a little further to 115.87 before topping out. We have now tested & held good support in the 113.65/35 band as expected but if we do break lower look for 113.07 then 112.70/60. Here we should see a floor but longs need a stop below 112.30.
There is a good chance of a rally back to 114.34 today. We are in a down trend so this could see selling pressure but if we push on look for 114.97, possibly 115.46/49 but doubtful any further.
WTI Crude Oil pushed higher to 94.37 & failed just below 94.81/96 where we predicted a high.
We then collapsed to the target of 91.99 & have bounced from here. Any rally is expected to be short lived but we could reach for 93.14/40. Watch for a high for the day here but if we do continue higher we may reach 93.87/92 for a selling opportunity.
Support at 91.99/92 may hold if retested but the daily outlook remains weak & so an eventual
break lower should target 91.58 which may provide a floor today. If however we break 91.10
look for 100 day & 21 week moving average support at 90.90/80. Below here 200 day MA at
90.43 then the up trend line at 90.00 should be a buying opportunity at this stage.
Natural Gas is closing in on the short term 61.8% Fibonacci resistance at 3.446/3.460 where we also meet the 100 day & 21 week Moving Average. We are sting to look over bought in the short term so there is a good chance of us topping out here. However a push through 3.480 keeps the positive momentum going for 3.505/3.512 & possibly as far as 3.534.
A big sell off is not expected but any profit taking could take us back to 3.385/377 but if this
does not hold look for 3.341/337.
By. Jason Sen