Oct Crude: Please Note: The DOE report is scheduled for 11:00am EST today due to the Labor Day Holiday. Crude snapped a 3-day losing streak on Wednesday with rallies off of yesterday’s Pivot ripping to 7539. Late day profit taking erased some of the gains to close up 58 cents at 7467. The market has broken its 24-day downtrend channel and is in a 3-day uptrend above the 20 and 10 DMA’s, however, congestion Resistance above at 7540-7570 Sept highs is an obstacle for the Bulls. That said, the bias today is Mixed to Higher.
Buying opportunities today are seen on dips against 7460-7435 X and 7400 XX Support ranges with trade above 7500 expected to generate buying into the 7540-7570 XX Resistance range. Trade above 7570 is a clear Bullish signal next targeting the 50 and 100 DMA’s at 7620 XXX with the potential to spike up to 7700-7750 XXXX extension range off a Bullish DOE report.
On the downside, rejected advances at the 7540-7570 XX Resistance range offers decent shorting opportunities using target points at 7500, then 7460-7435 X and 7400 XX Support zones. Trade below 7400 signals a turnover targeting 7335 XXX Support to 7300-7280 XXXX Bear extension target.
To take a FREE trial to our Daily Trading Playbooks, visit us at www.chartwhiz.com
Oct Cracks: Cracks slipped lower on Wednesday on mostly choppy trading with failures to hold above key levels setting a Bearish outlook on today’s session. The spot crude spread showed some heart on Wednesday which helped to keep the cracks down on the day.
The Heat Crack has a slight lead on lower overnight action with any failed rallies against the 1276 X Pivot Resistance signaling for breakdown trade today. A drop below 1255-1245 X Support level should set off corrective drives to 1220-1215 X and 1190-1180 XXX Support targets.
A flip above the 1276 Pivot/Settlement is neutral and likely to prompt moderate rally efforts to retest 1300-1315 XX Resistance. Trade above 1315 shifts tide to the Bulls for a wave of buying targeting 1350 XXX Resistance and possibly back to Tuesday’s swing high at 1375-1400 XXXX.
The Gas Crack is trading below its 5-day uptrend and daily Pivot at 678-700 X Resistance in the Globex session with trade sitting on 655-645 X Support ahead of the open. Sell continued failures against 678-700 X Resistance while trade below 645 confirms Bearish signals. Targets below are at 615-585 XX and 550-535 XXX.
On the upside, minor buy scalping can be done against 655-645 X Support but longs should cover against 678-700 X Resistance. Trade above 700 shifts gears to the Bulls with Stops likely to go off and spark rallies to 730-744 XX to 760 XXX Resistance targets. Moves above 760 XXX will aim for Tuesday’s swing high at 785-816 XXXX extension range.
To take a FREE trial to our Daily Trading Playbooks, visit us at www.chartwhiz.com
Oct NG:Natural gas prices traded mostly mixed for Wednesday’s session but ended lower on the day on a round of late day selling. The market settled at 3814 losing 3.8 cents on the day. The daily chart is in a flagging and slightly upward sloping 10-day trend channel but continues to threaten lower trade generating a mixed to lower bias for today’s number day. The EIA report is scheduled for release at 10:30am EST with Bloomberg estimates at 57 Bcf.
Overnight action is traded marginally lower and beneath the daily Pivot at 3840-3860 X Resistance. Failures to trade above 3840-3860 X Resistance points to lower trading with a drop below 3795 sparking moves to the weekly low and 3-week uptrend line at 3765-3755 XX Support target. The key bearish breakdown is below 3755 triggering sharp drives to last week’s Sept lows at 3697-3693 XXX with a strong chance to extend to 2010 Spot lows at 3650-3600 XXXX extension target.
On the upside, buying opportunities are seen against 3765-3755 XX Support for a scalp play back to 3795 to 3814 and potentially back to 3840-3860 X Pivot Resistance. Trade above 3860 shifts the tone to moderately Bullish targeting 3903-3946 XX Resistance with a chance for a spike to 3985-4035 XXX Resistance target off a Bullish EIA figure.
Dec Gold:Gold prices eased on Wednesday with a lower close on the day after rallies met resistance at the record spot high of 12648. The market peaked on a double top at 12647 before closing down nearly $2.00 on the day at 12575. Gold remains in a Bull trend as it holds a shorter term 13-day uptrend line crossing at 12530 today. However, our bias shifts to only sideways to higher as yesterday’s double top session ended with a Doji candlestick, a warning sign that a change in trend may be close.
Dips can be bought until the 13-day uptrend at 12530 is violated, though trade above initial 12600-12615 X Pivot Resistance is needed to restore a Bullish outlook targeting record highs at 12648 XX and 12675-12708 XXX (Dec. contract record high).
On the downside, failures to trade above 12615-12600 X Pivot Resistance can be short scalped for solid testing of the 12565-12530 X Support range (13-day uptrend). Trade below 12530 is Bearish on short term trade targeting lower supports at 12500 XX to 12464-12453 XXX containing the longer term 31-day uptrend line.
Sept SP: S&P futures regained ground on Wednesday to close up 8 points at 1099 and above its 100 DMA at 1097. Overnight action dipped and catapulted off of the 100 DMA with trade set to open higher on a Bull bias today.
We’ll be looking for dips to hold 1103-1102 X Support to generate sustained rallies today targeting the 200 DMA at 1113 XX Resistance. We should see some position squaring against the 200 DMA, however, a clean break above it opens the door to strong Bull moves to 1120-1123 XXX Resistance target.
Minor sell scalping opportunities are seen on an open at or just below 1107-1108 X Resistance for a move to fill the Gap up at Wednesday’s high at 1103-1102 X Support. A slip below 1102 will likely generate sideways congestion within the 1102 to 1094 range and a turn below 1094 alerts for a Bearish turn on the market targeting 1090 XXX to the weekly lows at 1086-1084 XXXX.
To take a FREE trial to our Daily Trading Playbooks, visit us at www.chartwhiz.com
