Technical forecast for Energy Futures

Brent made it to 115.40/60 as hoped but went a little further to 115.87 before topping out. We have now tested & held good support in the 113.65/35 band as expected but if we do break lower look for 113.07 then 112.70/60. Here we should see a floor but longs need a stop below 112.30.
There is a good chance of a rally back to 114.34 today. We are in a down trend so this could see selling pressure but if we push on look for 114.97, possibly 115.46/49 but doubtful any further.

WTI Crude Oil pushed higher to 94.37 & failed just below 94.81/96 where we predicted a high.
We then collapsed to the target of 91.99 & have bounced from here. Any rally is expected to be short lived but we could reach for 93.14/40. Watch for a high for the day here but if we do continue higher we may reach 93.87/92 for a selling opportunity.

Support at 91.99/92 may hold if retested but the daily outlook remains weak & so an eventual break lower should target 91.58 which may provide a floor today. If however we break 91.10 look for 100 day & 21 week moving average support at 90.90/80. Below here 200 day MA at 90.43 then the up trend line at 90.00 should be a buying opportunity at this stage.

Natural Gas is closing in on the short term 61.8% Fibonacci resistance at 3.446/3.460 where we also meet the 100 day & 21 week Moving Average. We are sting to look over bought in the short term so there is a good chance of us topping out here. However a push through 3.480 keeps the positive momentum going for 3.505/3.512 & possibly as far as 3.534.
A big sell off is not expected but any profit taking could take us back to 3.385/377 but if this does not hold look for 3.341/337.

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens. Jason always had an interest in technical analysis throughout his trading career but began to study this area in depth from 2006. www.daytradeideas.com has established itself as the leading provider of... More