Analyst: Crude Oil Market Looking Tired Here

"Oil Fluctuates on Signals Recession Easing, Fuel Supplies Gain"
Crude oil fluctuated in New York after reports signaled that the U.S. recession is easing and as fuel inventories increased. Oil climbed from the day’s lows after manufacturing in the Philadelphia region contracted in June at the slowest pace in nine months. U.S. supplies of gasoline and distillate fuel, a category that includes diesel and heating oil, rose last week, the Energy Department said yesterday. “The market is looking a bit tired here,” said Tim Evans, an energy analyst with Citi Futures Perspective in New York. “The fundamentals are really poor, with poor demand and excess supply. The recent rally has priced in quite a lot of good news that hasn’t had any impact on the energy.....Complete Story

Crude Oil Closes Lower On Demand Concerns

June crude oil closed lower due to profit taking on Wednesday as it consolidated some of the rally off April's low. The low range close sets the stage for a steady to lower opening on Thursday. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near term.

If June extends the rally, the reaction high crossing at 61.33 is the next upside target. Closes below the 20 day moving average crossing at 53.12 are needed to confirm that a short term top has been posted.

First resistance is Tuesday's high crossing at 60.08
Second resistance is the reaction high crossing at 61.33

First support is the 10 day moving average crossing at 55.98
Second support is the 20 day moving average crossing at 53.12

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The June Dollar closed higher due to short covering on Wednesday as it consolidates some of this month's decline but remains below the 75% retracement level of the December-March rally crossing at 82.50. The high range close sets the stage for a steady to higher opening on Thursday.

Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near term.

If June extends the decline, the 87% retracement level of the December-March rally crossing at 81.49 is the next downside target. Multiple closes above the 20 day moving average crossing at 87.76 are needed to confirm that a short term low has been posted.

First resistance is the 10 day moving average crossing at 83.65
Second resistance is the 20 day moving average crossing at 84.76

First support is today's low crossing at 81.98
Second support is the 87% retracement level crossing at 81.49

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The June S&P 500 index closed lower on Wednesday and below the 10 day moving average crossing at 900.05 signaling that a short term top has been posted. The low range close sets the stage for a steady to lower opening on Thursday.

Stochastics and the RSI are turning bearish signaling that sideways to lower prices are possible near term. Closes below the 20 day moving average crossing at 876.88 are needed to confirm that a short term top has been posted.

If June renews the rally off March's low, January's high crossing at 937.00 is the next upside target.

First resistance is last Thursday's high crossing at 929.00
Second resistance is January's high crossing at 937.00

First support is the 20 day moving average crossing at 876.88
Second support is the reaction low crossing at 838.80



Today’s Stock Market Club Trading Triangles



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IEA Cuts Demand Forecast and Saudi Arabia Doubles Spare Capacity

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