RBCL Sees Gasoline Resistance At 1228, 1260

Carry on my wayward son, there’ll be rallies when you are done. Well from a technical standpoint, there’s not a lot of hope for this, but there wasn’t much for that band either. We do see RSI sinking to a point of no return (like that?), but it’s just only getting under 30 here. We’re going to have to go back to find support here with 9607, 9489 and 9372 the best we can expect. Finding a way back to the upside, we’ll look for resis-tance at 9829, 9959 and 10030. The front spread is going to keep coming off as long as we see flat price leading. Look for support now to –26 and –32. Flat price contin-ues it’s fall early and holds during the day.

Gasoline:
We’ve moved on to RBX3. RB is just not able to fight the good fight anymore. We’re looking at support to come in and hold 26045, 25854 and 25679. The upside will have plenty of resistance at 26191, 26315 and 26563. The front spread is holding with sup-port to 91, 74. We are looking to see if we can pop resistance at 107 on the way to 140. RBCL sees resistance at 1228, 1260. Support to 1166, 1125.

Trends are only for the affected:
I’m the perpetual Bull, but I like me a good trend. The 10min chart is heading steady and lower here. We’re looking to the 9690 area to hold tight for support. The pivot is up above at the 9790 level and we check into channel resistance at the 9875 area. For those who have followed the 60min chart trend lower, nice job. We now need a redraw after we broke through past support. This has similar support to the 9785 level, but pivot is at 9825 with resistance targeting 9950.

Fundy you should mention:
I suppose it didn’t matter that the Unemployment number wasn’t that bad after the revision to August (+24K, 193K), it still left us short of expectations. That’s the big deal because we’re just not growing at a pace that economists are expecting and making it worse is that the rate keeps falling. That’s a big red flag that people are dropping out of the hunt instead of hunting harder. At this point, there’s not much more we can do for stimulus and with Yellen coming in, it looks like QE until 2015. Import/Export Prices (0.2, -0.1) at 8:30am EST might surprise and be the silver lining we’re looking for.

Sorry, I am just physically attracted:
Well those API’s are getting back on track and there’s no questioning the expected build in crude invento-ries (+3.0M). That’s no doubt a lack of refinery production but also a return of domestic crude production in the US Gulf. In what seems like forever and a day, we shut in the Gulf for Tropical Storm something. Last week’s EIA stats showed domestic production dropped about 425K b/d so that helped the big num-ber. With lower production, the gasoline drew (-510K) as we figured too. There was a build in Distillates (815K), but we will recall we were adamant during the Trop Storm that we’d not only be losing some USG production, but we’d also be delaying a few cargoes of exports. There’s that.

Techies, some Trekkies

200 Day MA 9862

100 Day MA 10323

13 Day MA 10114

8 Day MA 10020

14 Day RSI 30.88

Spread now; Roll later

Everything is expensive

Key support: -19, -26, -32

Key Rests: +06, +11, +18