Technically Speaking

Weekly Analysis: Energy Markets

Brent Crude Oil: The spot-month contract closed $3.81 lower at $43.61. The secondary (intermediate-term) trend is sideways-to-down with support at the major (long-term) low of $42.23. Weekly stochastics turned neutral-to-bearish, but still above the oversold level of 20%.

Crude Oil: The spot-month contract closed $3.55 lower at $40.74. The secondary (intermediate-term) trend is sideways-to-down as the spot-month contract moved to a new 4-week low of $40.22. This is a test of minor (short-term) support at $40.86, a price that marks the 76.4% retracement level of the previous rally from the major (long-term) low of $37.75 through the high of $50.92.

Distillates: The spot-month contract closed 10.83cts lower at $1.3813. The secondary (intermediate-term) trend is sideways-to-down as the spot-month contract tests support at the major (long-term) low of $1.3745. Weekly stochastics remain neutral-to-bearish, indicating a possible move to a new major low.

Gasoline: The spot-month contract closed 13.06cts lower at $1.2389. The secondary (intermediate-term) trend is sideways to down, with the spot-month contract poised to take support at the major (long-term) low of $1.2265. Weekly stochastics are bearish below the oversold level of 20%.

Ethanol: The spot-month contract closed 6.8cts lower at $1.452. The secondary (intermediate-term) trend is sideways with resistance at $1.664. This price marks the 38.2% retracement level of the previous downtrend from $2.265 through the low of $1.292. Support remains at $1.431, the 67% retracement level of the rally from the $1.292 low through the high of $1.709.

Natural Gas: The spot-month contract closed 1.0ct lower at $2.361. The market continues to indicate a secondary (intermediate-term) uptrend with the spot-month contract moving above the previous week's high and weekly stochastics building on the recent bullish crossover below the oversold level of 20%. Initial resistance is at the 4-week high of $2.578.

Propane (Conway cash price): Conway propane closed 4.13cts lower at $0.3675. The secondary (intermediate-term) trend looks to be sideways, with support between $0.3688 and $0.3349. These two prices mark the 50% and 67% retracement levels of the previous rally from $0.2675 through the $0.47000 high. Weekly stochastics are neutral to bearish, with the recent bearish crossover occurring below the overbought level of 80%.

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