"Cuz Crude, You're a Firework"

By: Peter Haralambakis / July 9, 2018

As organized 4th of July celebrations dissipate in the unbearable mid-summer heat, and Katy Perry’s “Firework” lyrics fade into the hot summer nights, “family trucksters” trekking across our great nation are certainly not celebrating gas prices at the pumps.  Fireworks continue to light up the “trading skies” for the bulls as WTI for August delivery is trading near its 4 year high at $73.60 bbl, RBOB is up $0.0339 trading at $2.1424 gal, and HO is up $0.0233 at $2.1917 gal.  Since the middle of June, and after OPEC’s decision to increase production to fill the oil production/export void that will be left by re-imposed sanctions against Iran, WTI has rallied nearly 17% or $10.69 bbl. 

CL Continuation-29

If WTI can settle above $74.86, look for market technicians to eye the next major resistance level of around $76.23 for a glimpse into how strong of a bull this energy sector is really dealing with.  Downside, a settlement below $72.35 indicates a move towards the next major support level of $69.98 within several days.  So the question still remains, will Saudi Arabia be able to produce enough oil to fill the void left by the Bolivarian Republic of Venezuela and Iran in the near future?  Until then, we cannot exclaim with firework “oohhss and awwes” that we may see $100 crude oil quiet yet.  One thing is for sure, volatility in the energy sector shall provide for an interesting rollercoaster ride.


Categories: Industry Update, OPEC decision, crude oil, Oil Prices


Peter Haralambakis

Written by

Peter Haralambakis

Peter Haralambakis is a Supply and Trading Business Development Manager at Guttman Energy with over 13 years of experience in commodities trading, analysis, and risk management in products ranging from Corn and Soybeans to Crude Oil Futures and Options to Financial and Physical Biofuels to Natural Gas and Natural Gas Liquids.


Guttman Energy Daily Market Update Disclaimer – The information contained in this market update is derived from sources believed to be reliable; however this update could include technical inaccuracies or typographical errors and Guttman Energy does not guarantee the accuracy, completeness or reliability of this update. FURTHERMORE, THIS UPDATE IS PROVIDED "AS IS," WHERE IS, WITH ALL FAULTS AND WITHOUT ANY WARRANTY OR CONDITION OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY. GUTTMAN ENERGY ALSO SPECIFICALLY DISCLAIMS ALL EXPRESS AND IMPLIED WARRANTIES. YOU USE THIS UPDATE AT YOUR SOLE RISK. This update and any view or comment expressed herein are provided for informational purposes only and should not be interpreted in any way as recommendation or inducement to buy or sell products, commodity futures or options contracts.


Comments

Subscribe to our blog

Price Feed

Stay up-to-date on current fuel prices and market trends with our NYMEX price feed (15 minute delay to the live market).

© 2018 Market data provided and hosted by Barchart Market Data Solutions. Fundamental company data provided by Morningstar and Zacks Investment Research. Information is provided 'as-is' and solely for informational purposes, not for trading purposes or advice, and is delayed. To see all exchange delays and terms of use please see disclaimer.

Categories

Contact Us