Prices Stumble on Fresh Fears

On March 6, 2012 by TradingDesk

We’re watching a “risk off” day unfold this morning, as global equity and commodity prices stumble on fresh fears of an economic slowdown – the Eurozone reported a contraction in Q4 GDP – and on concerns that despite 2 years of struggle, Greece may still end up in a messy default on its debt. The USD is rallying as investors seek safety.

Energy prices are down roughly 1%, with an Iranian olive branch – or stall tactic, take your pick – has temporarily eased concerns of imminent fighting stirred up by yesterday’s meeting between the US and Israel. The bull trends which have been in place for refined products since mid-December are breaking down this morning, although we still need to settle below these lines before we can celebrate the end of the run. Prices have moved so high so quickly, that there is little support on the charts until we drop another 10-20 cents, and with combined speculative long positions in the market at all-time highs, the selling could get furious if the fast money heads for the exits.

CLICK HERE for a PDF of today’s Chart

 

 

 

 

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