Technically the markets are bearish but with Iran set to deliver its response to the U.N. Security Council’s demand that it halt it’s nuclear program by August 31 tensions could quickly spill over and rock the complacent energy market higher.
Oct Crude Oil
The market is at the lower end of its five-month trading range with solid support at $70.00 a barrel. Technically a close below support at $70.00 is bearish and should encourage further selling off. A close above $74.00 is needed to put the bull forces back in charge of this market.
Sept Heating Oil
The market is at the lower end of its five-month trading range. A close below 203 should propel trade 20150. A close below 20150 targets 199-197. A close over 209 is needed to put the bulls back in charge of this market.
Sept Unleaded Gas
Last weeks trending slide lower keeps bear forces in firm control. A dip below 183.50 or a close under 182 is needed to encourage declines and target 179 support. Be on guard for a bounce higher if trade is unable to extend its declines past 179. A close above 194 is needed to encourage rallies.
Sept Natural Gas
The market is bearish and holds potential to extend declines to 6500 support. A close above 7560 is needed to encourage further rallies from last weeks attempted reversal.
Ralph D. Preston III
Heritage West Financial, Inc.