Technical Update - WTI broken bullish. Brent Struggling. Natural Gas bounce still has legs to go but for how long? Technical Update - WTI broken bullish. Brent Struggling. Natural Gas bounce still has legs to go but for how long? Technical Update - WTI broken bullish. Brent Struggling. Natural Gas bounce still has legs to go but for how long?

Technical Update - WTI broken bullish. Brent Struggling. Natural Gas bounce still has legs to go but for how long?

Commodities 4 minutes to read
KCL
Kim Cramer Larsson

Technical Analyst, Saxo Bank

Summary:  WTI Crude oil broken above key resistance but Brent oil is struggling. Natural Gas bounce continuing. How high can it go?


WTI Crude oil closed Friday above key strong resistance at around 79.77. RSI closed back above 60 threshold supporting a bullish trend.

WTI is above the slightly rising 200 Daily Moving Average and with the 55 DMA rising steep below the underlying sentiment is bullish. Should be noted however, that the 100 DAM is declining adding to a bit mixed picture i.e., a bullish move is likely to be struggling for momentum

However, there is now upside potential to the 1.382 projection at 84.14 close to the 0.618 retracement at 84.59. Strong resistance at around 82.56, however, could cut the bullish move short.

A close below 75.50 will demolish the bullish scenario
Source all charts and data: Saxo Group

Brent Crude oil on the other hand has not broken its key resistance at around 84.75.
A close above is needed for a confirmation of a bullish scenario, supported by an RSI close above 60. RSI is showing positive sentiment already but needs to close back above 60 for continued confirmation.

A close above 84.75 could push Brent to resistance at around 87.35 but there could be potential to 89.50-90.50
The Daily Moving Averages are acting like the Moving Averages for WTI.

A close below 80.70 will initiate a bearish move lower

Dutch TTF Gas has bounced off support at around 22.85. The Gas contract could bounce to the 0.618 retracement at around 27.82 if it can overcome resistance at around 26.50.

A push to the 0.786 retracement at 29.31 should not be ruled out. Strong resistance at around 31

Henry Hub Natural Gas is closing in on the USD2 levels that was mentioned in the latest Technical Update as a likely price target. A move to the 0.786 retracement at 2.03 seems quite likely.

If breaking above that level (2.03) the strong resistance at around 2.17 could be tested.

If Nat Gas is losing upside momentum and closing back below 1.80 previous trough at around 1.52 is likely to be tested

Disclaimer

The Saxo Group entities each provide execution-only service, and access to analysis permitting a person to view and/or use content available on or via the website is not intended to and does not change or expand on this. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Inspiration Disclaimer and (v) Notices applying to Trade Inspiration, Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular, no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.

Please read our disclaimers:
Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
Full disclaimer (https://www.home.saxo/en-sg/legal/disclaimer/saxo-disclaimer)

None of the information contained here constitutes an offer to purchase or sell a financial instrument, or to make any investments. Saxo Markets does not take into account your personal investment objectives or financial situation and makes no representation and assumes no liability as to the accuracy or completeness of the information nor for any loss arising from any investment made in reliance of this presentation. Any opinions made are subject to change and may be personal to the author. These may not necessarily reflect the opinion of Saxo Markets or its affiliates.

Saxo Markets
88 Market Street
CapitaSpring #31-01
Singapore 048948

Contact Saxo

Select region

Singapore
Singapore

Saxo Capital Markets Pte Ltd ('Saxo Markets') is a company authorised and regulated by the Monetary Authority of Singapore (MAS) [Co. Reg. No.: 200601141M ] and is a wholly owned subsidiary of Saxo Bank A/S, headquartered in Denmark. Please refer to our General Business Terms & Risk Warning to consider whether acquiring or continuing to hold financial products is suitable for you, prior to opening an account and investing in a financial product.

Trading in financial instruments carries various risks, and is not suitable for all investors. Please seek expert advice, and always ensure that you fully understand these risks before trading. Trading in leveraged products such as Margin FX products may result in your losses exceeding your initial deposits. Saxo Markets does not provide financial advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo Markets does not take into account an individual’s needs, objectives or financial situation.

The Saxo trading platform has received numerous awards and recognition. For details of these awards and information on awards visit www.home.saxo/en-sg/about-us/awards.

The information or the products and services referred to on this website may be accessed worldwide, however is only intended for distribution to and use by recipients located in countries where such use does not constitute a violation of applicable legislation or regulations. Products and Services offered on this website are not intended for residents of the United States, Malaysia and Japan. Please click here to view our full disclaimer.

This advertisement has not been reviewed by the Monetary Authority of Singapore.

Apple and the Apple logo are trademarks of Apple Inc, registered in the US and other countries and regions. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.