• 5 minutes Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Starvation, horror in Venezuela
  • 5 hours WTI @ 67.50, charts show $62.50 next
  • 3 hours Newspaper Editorials Across U.S. Rebuke Trump For Attacks On Press
  • 4 hours Mike Shellman's musings on "Cartoon of the Week"
  • 9 hours Venezuela set to raise gasoline prices to international levels.
  • 14 hours WTI @ 69.33 headed for $70s - $80s end of August
  • 28 mins Permian already crested the productivity bell curve - downward now to Tier 2 geological locations
  • 3 hours Batteries Could Be a Small Dotcom-Style Bubble
  • 16 hours Renewable Energy Could "Effectively Be Free" by 2030
  • 8 hours Scottish Battery ‘Breakthrough’ Could Charge Electric Cars In Seconds
  • 15 hours Corporations Are Buying More Renewables Than Ever
  • 4 hours Don't Expect Too Much: Despite a Soaring Economy, America's Annual Pay Increase Isn't Budging
  • 20 hours Again Google: Brazil May Probe Google Over Its Cell Phone System
  • 5 hours France Will Close All Coal Fired Power Stations By 2021
Alt Text

Goldman Sachs Expects “Very, Very Tight” Oil Market

Investment bank Goldman Sachs warns…

Alt Text

Is This Europe’s Newest Oil & Gas Producer?

Portugal has a troubled oil…

Jim Hyerczyk

Jim Hyerczyk

Fundamental and technical analyst with 30 years experience.

More Info

Trending Discussions

Oil Market Forecast & Review 26th April 2013

June crude oil surged on the daily and weekly charts, regaining a key support line and setting up the market for further upside action. Before getting too excited, however, keep in mind that the main trend is still down on the weekly chart and will remain in a downtrend until the swing top at $98.06 is taken out with conviction.

One week after taking out the support line of a triangle chart pattern, June crude is trading back inside the triangle, suggesting uncertainty amongst traders. This uncertainty may be being caused by conflicting fundamentals. For several weeks, the market had been attracting selling pressure because of perceptions of a weakening U.S. economy. Bearish traders had been envisioning an increase in supply because of a drop in demand, however, this week’s action suggests otherwise.

Not only did the market rally on a stronger dollar, but the news that U.S. gasoline inventories posted a sharp drop actually helped crude oil post its biggest gain of the year on April 25. The 2.5% rise represented short-covering and new buying as traders speculated the drop in gasoline inventories would lead to increased demand during the spring-summer driving season.

The idea that short-covering may be triggering the rally is being supported by the Commitment of Traders report from April 16. This report showed that small speculators decreased long positions by 8,999 contracts while increasing short positions by 5,579. As of the report date, 362,228…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





Oilprice - The No. 1 Source for Oil & Energy News