The Energies Review for The First Week of 2011

[jimfutu11]

For a great new trading week in new year, futures traders and investors will not skip the review on energy markets in this special week. Just check out whenever you care about those markets to see how crude oil and natural gas going!

The Energies Review
For the week of January 3rd, 2011

Crude Oil had a sharp spike to end the week as it rallied +$2 to close above $91. It looks to me like the start of the new year will have a bit of a spike to it as I believe Crude will retest the $92 level area. WTI spreads are falling hard this morning as G/H trades below -90 with the front arb getting very weak right now. It is odd that these conditions are happening in a rallying market. Look for $92 to be broken this week.

Natural Gas had a great week last week rallying from $4.00 to trade up to $4.30 and I believe this market will move higher as well. The 50 day moving average is rallying and will cross the 200 day moving average within the next month, and I see this as a bullish sign for longs. This market will likely look to test $4.50 this week. By the way, keep up with the review on other futures market to have a careful prepare for your investment!