WTI (CLH3) Gets Whacked Early But Will it be a BUY?
Crude Oil (CLH3) has seen profit taking heading into inventory reports today and has hugged 96 and support just below there at 95.89. Gasoline (RBH3) has been on a tear and consistently trading above 3.00. Traders will be closely focused on the Gasoline (RBH3) reports as surprising data week after week has helped ignite the fire under this market. Crude (CLH3) traders must also continue to watch the Dollar (DXH3) which is trading higher again this morning above 79.80; this will put pressure on commodities priced in dollars. A close back above 80 in the DX (DXH3) with anything but a bullish inventory report will likely send Crude (CLH3)to retest support below $95 before the close today. This market can still remain bullish in a test down to the 200 day moving average at 92.38, especially with the 50 day and the 100 day just below. If this market can build enough steam to retest 98.22, $100 will likely be in the cards not long after.
Resistance - 97*, 98.22***, 98.75*, 100
Support- 95.89**, 95.47, 94.83-94.95 93.50***