MBWealth’s Commodity Blog

A tight trading range, increased volatility, high correlations, and quick reversals…sound familiar. Oil will close down almost 1% today briefly trading below $73/barrel. Prices are fast approaching the previous support levels that held in both May and July. Will three times be a charm? We’re advising clients to lightly gain bullish exposure expecting prices to [...]

Like a Sloppy Joe it might be messy but the end result can be tasty. Translation be nimble even with sideways two sided trading there are plenty of trading opportunities. Oil has finished lower 10 out of the last 12 sessions reaching a six week low today. However today is the last trading day for [...]

Oil will finish down today but notice the chart pattern; a higher low and higher high. We think scaling into longs at these levels makes sense as a trade back over $80 is expected in the coming weeks. The distillates are expected to find support at the current levels as well; RBOB and heating oil [...]

Traders that have been around know this all t0o well “plan your trade” and “trade your plan.” Crude will finish lower today but well off it’s lows on a bearish inventory report. On such a bearish report the fact that Crude was able to hold its own we think a rally is in the making. [...]

Nothing too exciting today as markets settle in waiting for the next catalyst. We’re not overly bullish but prices did rise in Crude oil today for the first time in six sessions. We expect an interim low to be made this week and a $4-6 bounce from here. That should equate to a 15 cent appreciation [...]

Call it the summer doldrums but a majority of markets appear to be waffling back and forth. October Crude appears to be digging in its heels around the $75/barrel level. Aggressive traders could probe longs as we see prices back over $80 in the coming weeks. In this sector if forced just to pick one [...]

Please click on spreadsheet to view and zoom to 100% Energies Crude oil prices have fallen 9%, closing lower six out of the last seven sessions. We feel the easy money has been made on shorts and we should see the selling abate. We’ve advised clients to start taking profits on shorts and to initiate [...]

One simple question does anyone beside Rick Santelli understand the ramifications of kicking the can down the road? Oil appears to have dropped enough to find some interested buyers trading down just over 7% this week. We’ve advised traders to take at least partial profits on shorts as there should not be much more work [...]

We suggest continuing to trail stops on shorts or take partial profits in Crude oil. Could we go lower, yes…but prices have dropped 8.5% in the last week so this pace in our opinion is not sustainable. We suggested heating oil hedgers to establish additional hedges today; yesterday we advised January upside protection today December. [...]

Back to the drawing board for the Federal Reserve. It will be interesting to find a silver lining in this one! Crude oil broke the trend line mentioned in yesterday’s blog and touched the 50 day MA at the low of the day. We feel there is more work on the downside thinking there should [...]