by Jim Wyckoff, Senior Analyst TraderPlanet.com
NOVEMBER CRUDE OIL
November crude oil closed up $2.07 at $89.47 a barrel today. Prices closed near the session high today and hit another fresh contract and all-time record high of $89.78 a barrel. Tensions between Turkey and Iraqi Kurds and a very tight fourth-quarter world supply and demand balance sheet are bullish fundamentals. A weaker U.S. dollar is fueling fresh speculative buying interest in crude, especially from non-U.S. traders. While bulls still have solid upside technical momentum, the market is way short-term overbought, and a blow-off top may be forming. The next upside price objective for the bulls is producing a close above psychological resistance at $90.00 a barrel. The next downside price objective for the bears is producing a close below solid technical support at the September high of $83.76 a barrel. First resistance is seen $90.00 and then at $91.00. First support is seen at $89.00 and then at $88.00.
Wyckoff’s Market Rating: 10.0.
Source: VantagePoint Intermarket Analysis Software
NOVEMBER HEATING OIL
Wyckoff’s Market Rating: 9.0.
Source: VantagePoint Intermarket Analysis Software
NOVEMBER UNLEADED GAS
November (RBOB) unleaded gasoline closed up 385 points at $2.1851 today. Prices today closed near the session high today and scored a bullish “outside day” up on the daily bar chart. Prices also closed at a fresh contract high close. Bulls still have the overall near-term technical advantage, but the market is also short-term overbought and due for a bigger downside correction very soon. The next upside price objective for the bulls is closing prices above resistance at the contract high of $2.2019. Bears’ next downside price objective is closing prices below support at $2.1000. First resistance is seen at today’s high of $2.1903 and then at $2.2019. First support is seen at today’s low of $2.1375 and then at $2.1200.
Wyckoff’s Market Rating: 8.5.
NOVEMBER NATURAL GAS
November natural gas closed down 8.4 cents at $7.374 today. Prices closed nearer the session low today after hitting a fresh two-month high early on. Price action today did scored a bearish “outside day” down on the daily bar chart.The next upside price objective for the bulls is closing prices above solid resistance at today’s high of $7.616. The next downside price objective for the bears is closing prices below solid support at $7.00. First resistance is seen at today’s high of $7.616 and then at $7.85. First support is seen at today’s low of $7.25 and then at this week’s low of $7.087.
Wyckoff’s Market Rating: 5.0.