DTN’s Technical Analysis | ENERGY | Aug 17

Daily technical analysis of crude oil, heating oil, gasoline and natural gas

Brian Milne - DTN Energy Editor,
August 17, 2018

Brent Crude Oil: The overnight market on ICE was up $0.50 near $72. The spot-month contract is in a short-term downtrend. The spot-month contract tested support at the 200-day moving average this week, which is $70.28, trading at a $70.30 four-month low. The spot-month contract has moved back above support at the $71.13 50% retracement point for the February-to-May uptrend. Resistance is marked at the $73.34 retracement point. The forward curve is in a contango market structure through January delivery. The relative strength index shows oversold pressure is building.

Crude Oil: The overnight WTI market was $0.25 higher near $65.75. The spot-month contract is in a short-term downtrend. The spot-month contract tested support at the 200-day moving average this week, which is $64.45, trading at a $64.43 two-month low Thursday. Resistance is found at the $65.77 and $67.12 retracement points. WTI is in a bullish backwardated market structure. The relative strength index shows an oversold market.

Distillates: The overnight market was 1.75cts higher near $2.1135. The spot-month contract tested support at the $2.0722 retracement point with a $2.0760 four-week low this week. Additional support is marked at $2.0577, the 50% retracement point for the February-to-May uptrend. Resistance is found at the $2.1276 retracement point. The forward curve is in a contango market structure through January delivery. The relative strength index shows a neutral market.

RBOB Gasoline: The overnight market was up 0.75cts near $1.9950 amid inside trade. The spot-month contract is in short-term downtrend. The spot-month contract tested support at the $1.9661 50% retracement point for the February-to-May uptrend with a $1.9671 four-month low Thursday. Additional support is found at the 200-day moving average at $1.9539. The gasoline market is in seasonal backwardation through January delivery. The relative strength index shows oversold pressure is building.

Natural Gas: The overnight market was up 1.5cts at $2.923. The spot-month contract is in a short-term uptrend, trading at a two-month high of $2.974 this week. Resistance is found at the $3.053 June high. Support is marked at the 200-day moving average at $2.855, and the $2.830 100-day moving average. The forward curve is in a contango market structure through January delivery. The relative strength index shows and easing overbought market.

*For technical analysis of monthly (long-term) and weekly (intermediate-term) trends see DTN’s Technically Speaking blog on your ProphetX system.

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