Weekend News 09Mar

As noted in last week’s review, here, following the structural breakdown of 91.50s, the market was poised to continue the price discovery lower this week within the Oct/Dec trade cluster, 90.40s-87.90s. 


Last week’s Stopping Point, 90.20s, was tested, extending the range lower toward the cluster POC, 89.40s. The Stopping Point was achieved there, balancing from 89.30s-90.80s midweek before buyside sequence into week’s end, closing at/near the high 92s.

The sellside response at/near the key structural resistance, 91.50s/92s, will be key in next week’s auction. IF sellside defends, then price discovery potential lower toward 89.40s/88s. IF sellside fails to defend structural resistance, then price discovery potential higher toward 93s/95s as inventory is adjusted. 

Graphics

Central Banks

Geopolitics

Supply/Demand & Markets 

  • Short Sales Decline As Bull Market Enters Fifth Year. (Bloomberg)

Weekend News 02Mar

As inferred last week, here & here, the failure of the 92.50s to hold as support resulted in price discovery lower toward the Major structural support at 91.50s.

The market broke down through that support, as price discovery drove the market down into Dec & Oct 2012’s middle cluster, 90.30s-87.90s, here, achieving a stopping point at 90s, at/near the cluster POC, 90.20s. 

Market response at/near the Major structural resistance, 91.50s, (prior support) will be key in next week’s auction. IF that area is defended by the sellside, then price discovery potential lower toward 88s. IF 91.50s fail to hold as resistance, then price discovery potential higher within 91.50-95 cluster as inventory is adjusted. 

Graphics

Central Banks

Geopolitics

  • P5 + 1 Eases Nuclear Demands On Iran, Offers Sanctions Relief. (RT)
  • US Funding Of Syrian Rebels May Assist Formation Of Alternate Government. (RT)
  • Congressional, Executive Pay Safe From Sequestration. (Bloomberg)
  • Geopolitical Issue Of US Crude Oil Exports. (Platts)

Supply/Demand & Markets 

  • The Impact Of Asia On Global Energy Map. (IEA)
  • Constrained Oil Demand Growth In 2013, Sayeth Vitol. (Platts)