Oil has been maintaining the range between $85.55 and $90.06. We anticipated a dip to $85.55 and support there, which was validated with this dip. However, oil appears to be continuing a sideways corrective pattern, as it establishes value just below the $90's. We anticipate higher oil prices, as no fundamentals indicate otherwise for now. But we must first...
Oil has fallen but is finding support in the high $80's. The level $87.21 seems to be providing good support, with two green triangles on the KRI serving as confirmation. The Kovach OBV confirmed a strong rally that took us back to the $90's, just shy of $94. Two attempts to break higher formed a double top which suggested an inability to make new highs and...
To answer this question, we need to look at the following: 1) US Strategic Petroleum Reserve The US Strategic Petroleum Reserve is currently at its lowest level since 1984, while the absolute level is worrisome, the speed of the drawdown on the reserve over the past year is more concerning. In an effort to combat rising prices and possibly secure the...
Oil has dipped into the $70's again, but has regained the $80's following reports that OPEC will cut production . We blasted through lower levels in the $80's, and are currently retesting $83.21, with a red triangle on the KRI confirming resistance. If momentum continues, we have several more levels to cross before our target of $85.55. Depending on how much...
Oil has weakened with the price action rounding off at $83.21. We are currently seeing support at the base of the $80 handle with the level at $80.00 holding strong for now. We have several green triangles on the KRI confirming support. The Kovach OBV has dipped with the selloff, and we will need more momentum to come through in order to establish higher...
Definitely in phase 3 - distribution. Could create a triple top but I'd be careful with energies after this rally. I'm going to short below the volume shelf and below 50 MA (red). Today we might have a bounce.
Oil saw support at $85.55, confirmed by many green triangles on the KRI. As anticipated, we saw a nice pivot there, bouncing back just below $90. We are currently testing $88.74, but a red triangle on the KRI is confirming resistance. Recession fears, bolstered by the non farm payrolls headline miss, will likely weigh on the price, however supply side shortages...
Oil has tumbled, giving up the $90's entirely, and plummetting deeper into the $80's. We have breached $90.06, and several levels after that in the upper $80's. In particular, $87.21, our target from yesterday, was hit exactly (to the tick) and is currently providing support confirmed by a green triangle on the KRI. If we plummet further, our next target is...
Oil plummeted off recession fears , rejecting the mid $90's. Technically we are already in a recession (by multiple metrics) but our puppet masters would like us to think otherwise, constantly chasing hope like a carrot on a fishing pole. We slammed past multiple levels in the $90's, giving up the $90 handle entirely. We are currently testing $88.74, with the...
Oil has made a run for higher levels, testing the next level above $95.24 at $96.88. US oil reserves are at lows not seen since 1984 , as the Biden administration hastily digs into reserves to frantically buoy prices before midterms. Nevertheless, we are still trekking closer to the $100 mark. If we are able to break through $96.88 then $100 is the next...
Oil saw strong resistance at $95.24, the relative high we called out yesterday. After testing and rejecting this level we saw a brief ratracement, finding immediate support at $92.03, the next level down, as we anticipated. We should see further support from $90.06, the base of the $90 handle. If prices pick up, we must solidly break $95.24 and $96.88 before we...
Oil has rebounded into the $90's after establishing a solid value area in the high $80's. It seemed like prices were finally coming down, when we saw a nice spike back to the $90's, reestablishing value above $92.03. We are currently testing $95.24, but a red triangle on the KRI may indicate that we are running into resistance. If we can break through then the...
Oil seems to have bottomed out at $85.55. We saw good support from green triangles on the KRI, and a subsequent pivot back to the high $80's. We are now just below $90, with $90.06 in particular being the level to break before attaining higher levels. We should see significant resistance there. The Kovach OBV is bearish and keeps pressing lower. If we fail to...
Oil has finally broken out, solidly reestablishing the $90's after spending a few days in the high $80's. We are still bound by $95.24, which has been our target and area of anticipated resistance since oil was in the $87's. We are seeing some red triangles on the KRI confirming strong resistance here. The Kovach OBV has picked up a bit, but it remains to be...
Oil has bottomed out just about our level at 87.21. We have broken through levels in the 90's, giving up that handle completely. The Kovach OBV is very bearish, confirming the momentum from the selloff. If things pick up, 90.06, which once provided support, will now provide resistance, and is our next target. If the bear momentum continues, then 85.55 and...
Gasoline in the US has been trending lower and lower, now down 30% from its ATH. It hasn't filled the breakaway gap yet, but I think it will do so in the next few weeks, and that could be an excellent opportunity to go long in the short term. Oil has filled the gaps and chopped at support for a while but is looking weak. What is strange is how supply is limited,...
Oil made an attempt at higher levels, hitting both of our targets at $100 then $101 before retracing back to the $90's. The Kovach OBV is gradually trending upward, so we are seeing a bull bias. But the $100's seem to be a hard upper bound for now. Currently, we are seeing good support around $95.24, a familiar level. We may also be seeing a bull wedge...
Looking at the OXY Occidental Petroleum options chain, i would buy the $75 calls with 2022-10-21 expiration date for about $3.10 premium. Looking forward to read your opinion about it.