DTN’s Technical Analysis | ENERGY | May 7

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

Darin Newsom - DTN Senior Analyst,
May 7, 2018

Brent Crude Oil: The overnight market (ICE) was $0.69 higher at $75.56. The spot-month contract has extended the market’s minor (short-term), secondary (intermediate-term), and major (long-term) uptrend. Despite being technically overbought on daily, weekly, and monthly charts, bullish fundamentals indicated by the market’s inverted forward curve continues to drive Brent crude higher.

Crude Oil: The overnight WTI market was $0.65 higher at $70.37. Similar to Brent crude, the spot-month contract extended the market’s minor (short-term), secondary (intermediate-term), and major (long-term) uptrends overnight. Next major resistance on the monthly chart is at $72.36, a price that marks the 38.2% retracement level of the previous long-term downtrend.

Distillates: The overnight market was 1.37cts higher at $2.1677. The market remains in a minor (short-term) downtrend. The recent upswing looks to be Wave B (second wave) of a 3-wave downtrend. Resistance is at the previous high of $2.1918.

RBOB Gasoline: The overnight market was 1.54cts higher at $2.1294. The market remains in a minor (short-term) downtrend with the recent rally Wave B (second wave) of a 3-wave downtrend. Resistance is at the previous high of $2.1476.

Natural Gas: The overnight market was 0.7ct lower at $2.729. The market now looks to be in a minor (short-term) downtrend as the spot-month contract posted a new 4-day low of $2.695 overnight. Also, late last week saw the market move below trendline support, calculated Monday at $2.713.

*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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