Refined Products Pushing Fractionally Higher

On April 19, 2013 by TradingDesk

Refined products are consolidating this morning, pushing fractionally higher after failing to break through pivotal support in the $2.70 range Thursday. The question now becomes if prices can break out of the bear trend that began April 2nd, and has wiped 35 cents off the price of HO, and 45 for RBOB gasoline. The first test to the upside comes in at $2.82 for HO, and $2.84 for RBOB.

US Stocks broke below their bullish trend-line, in place since the furious rally began in November, for the first time yesterday. Technicians suggest that the wild swings in stocks this week may be signaling the end, and perhaps reversal, of that trend. Although the correlations between equities and commodities have broken down again recently, if stocks do capitulate, that will likely add to the negative sentiment already gripping energy prices, along with other commodity markets.

CLICK HERE for a PDF of this morning’s charts

 

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