DTN’s Technical Analysis | ENERGY | DEC 4

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

Brian Milne - DTN Energy Editor,
December 4, 2018

Brent Crude Oil: The overnight market on ICE was up $1.25 near $62.95. The spot-month contract has resistance at the $63.96 38.2% retracement point for the 2016-to-2018 uptrend. The forward curve is in a contango market structure through July 2019 delivery. The relative strength index shows the market remains oversold.

Crude Oil: The overnight WTI market was up $0.95 near $53.90. The spot-month contract has resistance at $55.36, the 61.8% retracement point for the 2017-to-2018 uptrend. The contract may look to fill the gap on the spot chart at Friday’s $51.79 high. The forward curve is in a contango market structure through August 2019 delivery. The relative strength index shows an ongoing oversold market.

Distillates: The overnight market was up 4.4cts near $1.9315. The spot-month contract has moved above resistance at the $1.9020 50% retracement point for the 2017-to-2018 uptrend, with resistance next found at the $2.0313 38.2% retracement point. The forward curve is in seasonal backwardation. The relative strength index shows an oversold market.

RBOB Gasoline: The overnight market was up 3.4cts near $1.4655. The spot-month contract has continued higher after testing support at the $1.3838 61.8% retracement point for the 2016-to-2017 uptrend, trading at a $1.3753 two-year low in November. Resistance is found at the $1.5340 50% retracement point for the same trend. The forward curve is in a contango market structure through the first half of 2019. The relative strength index shows continuing oversold pressure.

Natural Gas: The overnight market was up 4.9cts at $4.388, consolidating within Monday’s trade range. The spot-month contract continues to trade in a wide range following November’s price spike to $4.929, again above the $4.363 23.6% retracement point for the 2018 uptrend. Support is found next at the $4.0313 38.2% retracement point. Resistance is found at the $4.929 November high. The forward curve moved into seasonal backwardation through May delivery. The relative strength index shows a neutral market.

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