Crude Oil Bulls Have The Near Term Advantage

June crude oil was higher overnight and is trading above resistance marked by the 20 day moving average crossing at 51.65.

Stochastics and the RSI are bullish signaling that sideways to higher prices are possible near term.

Closes above the 20 day moving average crossing at 51.65 are needed to confirm that a short term low has been posted.

If June renews this month's decline, the reaction low crossing at 45.11 is the next downside target.

Thursday's pivot point, our line in the sand is 50.50

First resistance is the overnight high crossing at 51.94.
Second resistance is the reaction high crossing at 53.21.

First support is last Tuesday's low crossing at 46.72.
Second support is the reaction low crossing at 45.11.

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The June Dollar was lower overnight as it extends Wednesday's decline and spiked below support crossing at 84.10. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near term.

If June extends this week's decline, March's low crossing at 83.14 is the next downside target. Closes above the 10 day moving average crossing at 85.77 would temper the near term bearish outlook in the market.

First resistance is the 20 day moving average crossing at 85.52.
Second resistance is the 10 day moving average crossing at 85.77.

First support is the overnight low crossing at 84.03.
Second support is March's low crossing at 83.14.

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The June S&P 500 index was higher overnight as it extends the rally off March's low. Stochastics and the RSI are diverging but are bullish signaling that sideways to higher prices are possible near term.

If June extends the rally off March's low, January's high crossing at 937.00 is the next upside target. Closes below the 20 day moving average crossing at 848.03 are needed to confirm that a short term top has been posted.

Thursday's pivot point, our line in the sand is 868.50

First resistance is the overnight high crossing at 887.10.
Second resistance is January's high crossing at 937.00.

First support is the 10 day moving average crossing at 856.07.
Second support is the 20 day moving average crossing at 848.03.

The June S&P 500 Index was up 14.40 points. at 883.30 as of 6:04 AM CST. Overnight action sets the stage for a higher opening by the June S&P 500 index when the day session begins later this morning.


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