NYSEAM:BQI - Post by User
Post by
Oil100buckson Jan 27, 2010 7:13am
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Post# 16722668
What say U Jack?
What say U Jack?
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Commodities — Energy
Oil Correction Threatened by Fear of Chinese Lending Cutoff
Technical positioning has changed little from yesterday: prices continue to consolidate in a narrow range, with positive divergence on the RSI oscillator suggesting that a near-term bullish upswing may be ahead. Initial resistance lines up at $79.04. However, any such move is likely to be corrective considering the large bearish engulfing pattern on the weekly chart that warns that the overall trend favours the downside. On the economic data front, weekly jobless claims figures are expected to print firmly along the trajectory of the downtrend in place since March while the Department of Energy is set to report that crude inventories added another 2.4 million barrels, which could help engineer a bounce. On the other hand, the overnight revelation that Chinese GDP and inflation grew meaningfully faster than expected at the close of 2009 may undermine bullish momentum amid fears that Beijing will boost efforts to restrict lending to prevent the buoyant economy from overheat Continue Reading
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