Energy Futures Shrug Off Equities Slide

On December 20, 2012 by TradingDesk

It’s a quiet morning so far for financial markets, a day after energy futures shrugged off a stock market slide and finished a second day of a strong rally that is causing some to suggest that the lows of last Monday, may just be the seasonal bottom in prices that often comes in December. The light volume changing hands leaves room for debate – as does the mixed technical outlook. That being said, RBOB and HO are now a dime higher than they were Monday morning, and gulf coast gasoline grades are now 25 cents higher, as basis values recover from record lows.

RBOB will need to break above $2.75, and HO above $3.05 before technical studies will begin to confirm that a bottom has been put in for the winter, otherwise, given the light volume and relatively tight trading ranges seen this month, the day to day movements could be classified simply as “noise”.

CLICK HERE for a PDF of this morning’s charts


Comments are closed.