October crude oil was higher overnight but remains below the 62% retracement level of this year's decline crossing at 98.22. Stochastics and the RSI are bearish signaling that a pause or short-term top in this summer's rally might be forming. Closes below the 20-day moving average crossing at 94.14 are needed to confirm that a short-term top has been posted while opening the door for additional weakness. If October extends the rally off June's low, the 75% retracement level of this year's decline crossing at 102.50 is the next upside target. First resistance is the 62% retracement level of this year's decline crossing at 98.22. Second resistance is the 75% retracement level of this year's decline crossing at 102.50. First support is the 20-day moving average crossing at 94.14. Second support is the reaction low crossing at 91.97.
September heating oil was higher overnight and is poised to extend this summer's rally. However, stochastics and the RSI are overbought and are turning bearish hinting that a short-term top might be in or is near. Closes below the 20-day moving average crossing at 304.15 would confirm that a short-term top has been posted. If September extends the rally off June's low, the 87% retracement level of the March-June decline crossing at 323.05 is the next upside target. First resistance is Monday's high crossing at 318.55. Second resistance is the 87% retracement level of the March-June decline crossing at 323.06. First support is the 10-day moving average crossing at 311.29. Second support is the 20-day moving average crossing at 304.15.
September unleaded gas was lower due to profit taking overnight after spiking above March's high of 320.44 on Monday. Stochastics and the RSI are overbought, diverging and are turning bearish hinting that a double top with March's high might be forming. If September extends the rally off June's low, weekly resistance crossing at 332.48 is the next upside target. Closes below the 20-day moving average crossing at 302.07 would confirm that a double top has been posted. First resistance is Monday's high crossing at 330.50. Second resistance is weekly resistance crossing at 332.48. First support is the 10-day moving average crossing at 308.89. Second support is the 20-day moving average crossing at 302.07.
September Henry natural gas was lower overnight as it extends the decline off July's high. Stochastics and the RSI are oversold but remain bearish signaling that sideways to lower prices are possible near-term. If September extends the decline off July's high, the 75% retracement level of the April-July rally crossing at 2.486 is the next downside target. Closes above the 20-day moving average crossing at 2.819 are needed to confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 2.819. Second resistance is the reaction high crossing at 3.120. First support is the overnight low crossing at 2.612. Second support is the 75% retracement level of the April-July rally crossing at 2.486.
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