Tuesday, October 19, 2010
Stock Market and Commodities Commentary For Tuesday Evening Oct. 19th
Crude oil closed down $3.44 at $79.64 a barrel today. Prices closed near the session low today and hit a fresh three week low. Chart damage was inflicted today as prices saw a bearish downside "breakout" from a sideways trading range at higher price levels. Sharp gains in the U.S. dollar index and lower stock index future prices today pressured crude.
Natural gas closed up 8.8 cents at $3.519 today. Prices closed near the session high today and saw short covering in a bear market. Prices hit a fresh contract low early on today. The bears still have the solid overall near term technical advantage.
The U.S. dollar index closed up 138 points at 78.52 today. Prices closed near the session high today and hit a fresh two week high. News that China raised a key interest rate today boosted the greenback. Dollar index bears still have the overall near term technical advantage, but the bulls did gain fresh upside momentum today to suggest that a market low is in place.
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