With Gas at 445 here in Chicago, i wonder if those gas stations will run out to drop the price with today’s break in crude. from 110 down to 102 in one day? Will there be a congressional investigation as to why these prices moved lower so fast? BTW I am being sarcastic here people.
Lets cover where crude has been. Last year we were at 73.50 a barrel. The recent high was 114.83.
1/2 way back is 94 bucks a barrel. 100 dollar barrel will be a big deal.
The trend over the past 2 years was up. A bull move from our 2009 lows. I think the 95.00 to 94.00 barrel a level will be a good area to 1) cover remaining shorts or 2) begin building a new speculative long position.
Nothing fundamentally has changed. The market is correcting itself. Better the market than a committee in Washington DC.
That is all.
CER