Oil & Gas Position Updates

Please note that due to market volatility, some of the key levels may have already been reached and scenarios played out.

Trading positions

Crude Oil [CLX21] We projected the $74.83-75.45 level (yellow rectangle) as new support onto which prices could rebound, so we would go long after a dip around that area with a stop just below $73.14 and a target around $79.55. Since we currently think that the barrel is overbought, we expect it to slide back – See Fig. 1
Natural Gas [NGX21] In our previous edition published last week, we projected that if the market broke below $5.480-5.568 support, we would then readjust our long position to lower levels above $5.073-5.147 support. So, this is exactly what the market did (after rebounding a few times on the same level), and thus an opportunity arose yesterday to enter just above this new projected support (just look at how prices got rejected back up after almost touching it…). For risk management, an appropriate stop could be placed just below $4.766 in order to target $5.663-5.790 – See Fig. 2

Trading Charts