Thursday, February 14, 2013


2/14/2013 Update:

Wednesday’s Crude Pit Session:

High: 98.05
Low: 96.63
Close:  97.03

Looking ahead to today:

We saw crude hit a new 8 day pit session high at 98.05 yesterday early in the session as Equity Markets made new highs and the Dollar showed weakness.  However, yesterday’s DOE inventory report reflected a smaller than expected build which in turn drove prices down to 96.63 lows before recovering a bit and settling at 97.03.   We saw large dealers on the offer most of the day and many placed additional short positions into the closing bell.  This bearish sentiment seemed to be fueled by the fact that we had a small build in inventories rather than the unexpected large draw that was reflected in Tuesdays API report.  As March Crude options expire today and we continue with roll we need to keep in mind that we are still stuck in the 95.00-98.00 trading range until we close and settle above 98.30 or below 94.95.   We will be keeping a close eye on the options pits for an indication on how the big players may be positioning themselves in the new front month contract.

Levels:
Support: 97.05, 96.63, 96.42, 95.82, 94.95
Resistance:  97.24, 97.84, 98.05, 98.30, 98.66


Wednesday’s Natural Gas Pit Session:

High: 3.323
Low: 3.256
Close:  3.305

Looking ahead to today:

We saw Natural Gas continue to catch a bid yesterday off the 3.200 support area for most of pit session.   Today’s 1030am Storage Report is forecasting a -166BCF draw.  We need to keep a very close eye on this report today as a larger than expected draw could continue to put upward pressure on Natural Gas Prices and a less than expected draw combined with the latest mild forecast could possibly spark a sell off.   Natural Gas Traders are still keeping an eye on the key 3.200 support level as a breach of this level could push us down to the 3.00 area.

Levels:
Support: 3.284, 3.256, 3.245, 3.230, 3.200
Resistance: 3.323, 3.337, 3.345, 3.377, 3.470

Tune in today to hear Marty's live analysis and pit commentary on all the NYMEX Energy Markets.   www.tradersaudio.com

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