Crude Oil Bulls Take a Clear Near Term Technical Advantage

Crude oil closed up $0.67 at $77.61 a barrel today. Prices closed nearer the session high today and hit another fresh four week high on more short covering and fresh speculative buying interest. The bulls have upside near term technical momentum and have the overall near term technical advantage. My bias is that a market low is in place and that it's likely price action will remain choppy and in a trading range between the May low of $67.15 and psychological resistance at $80.00.

Natural gas closed down 20.0 cents at $4.989 today. Prices closed nearer the session low today on profit taking pressure from recent gains. Recent price action suggests a major market low is in place in natural gas and that prices can continue to trend higher in the near term. Prices are in a three week old uptrend on the daily bar chart.

The U.S. dollar index closed up 16 points at 86.45 today. Prices closed near mid range today. While no serious chart damage has occurred recently, the bulls have faded and need to show fresh power soon. The bulls still have the overall near term technical advantage.

Gold futures closed down $2.70 at $1,231.70 today. Prices closed nearer the session low today in quieter trading. Mild profit taking pressure was featured. The gold bulls still have the solid overall near term technical advantage. There are still no solid early technical clues to suggest a market top is close at hand. Prices are in a four month old uptrend on the daily bar chart.


Trading Video: How to Take Money and Emotion Out of The Gold Market


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