Technical forecast for Gasoil for 19th May 2013

gasoil

Gasoil unexpectedly broke above 875 to fill the gap at 883.75 but held just below at 882.75. We are now very overbought so we could see profit taking at the start of this week. Look for a dip back to support at 873.55 with a bounce possible. However if we continue lower we meet good support at 868/867 & a good chance of a low for the day to exit any remaining shorts. Next support at 863.25 & then 859/858 could be a buying opportunity later in the week.

882.75/883.75 is our first challenge this week on the topside, with further resistance at 889.35. We should struggle here so watch for a high for the day but shorts need stops above 893 for a test of resistance at 898.

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