Sharply rising energy prices are pressuring politicians to react. Last week the European Commission called for an overhaul of the electricity market following price increases in excess of 20% in a single day in France. The European Commission is talking tough but is offering very little in terms of detail on its proposals1. Poland is looking for a suspension of...
Carbon (EUA) is a very technical market, as you can tell from my previous charts. Dec20 contract breached a strong resistance level and it could aim for €30/t. Additional support has been felt by fundamentals and Brexit developments. In the short-term, the market could be bullish and attempt to set a new trading range, above the €26/t. That said, I doubt EUAs...
Hello folks, A number of fundamental changes have affected EU ETS allowances, which are currently breaching MA200 - a strong technical level. Weak EUETS auctions, low/negative dark spreads and Brexit concerns have provided pressure. Technically, Fibonacci 61%(used for resistance levels), and MA200 have been breached. All technicals, except RSI (which is not my...
Heya, In the previous post, I shared with you an ambitious thought, which was predominantly based on a fundamental view rather than a technical view. Hence, I set a tight stop-loss. Now, we see carbon testing some support levels, which I'm not confident it can breach in the short-term. That said, Brexit developments next week may provide some further direction....
Carbon as a market has been following very closely technical signs in 2018. European Commision introduced Market Stability Reserve (MSR) a policy that aims to reduce the surplus of carbon allowances we are currently seeing in this market. This analysis argues that EUAs tested the 21.40 three times but failed to breach it. That said, the triple top formation never...