Crude Oil

bone

bone

Support at $60 might be a bit tenuous in here - $55 seems safer. This move caught more than a few longs flat-footed. $60 might present like a cheap put for big specs hunting stops and looking to collect a fast buck or two.
 
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S2007S said:
Wasn't there talk of $100 by December...all that hype of triple digits...and the exact opposite has happened.....pure hype!!!
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Yep. And the new Iranian sanctions kicking in this week were supposed to tighten supplies.

The North American hydrocarbons production boon has truly been a massive sea change to the world economy and to the power of OPEC.
 
The fact that CL can't rally with equities tells me that $60 is incredibly likely - we're at 60-74 as I type this. And at that $60 technical support level is where the fun begins.
 
Well, here we are at 60-15; ten days of losses in a row. Russia and OPEC hinting at production changes haven’t altered the market arc to date.

S1 @ $60

S2 @ $55
 
I believe that we will start to see some more rhetoric around production cuts from OPEC+. We may also see US production decline as the prices come down as companies close their more expensive wells.

Short term bearish - Due to market sentiment.
Medium term bullish - Based on OPEC+ and US Shale reaction to lower prices.

I have opened some buy positions with a small sell hedge to catch any further price drop.
 
We opened up modestly today. At $60 all US fracking production and Canadian shale sands production currently online is profitable - US is in a little better position until such time as Canada gets their shit together regarding pipeline basis.
 
57-11 last on the Dec contract. If we can manage and maintain a couple strong Daily closes below $60; better yet if we could manage a close below $60 on this Friday's settlement - $55 will be our new S1, $50 S2 and $45 S3. The $50 level will attract the most order flow.
 
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