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HY Markets Products - Energy
Market Commentary Friday 30 July 2010
 
 
ENERGY
 
Crude Oil closed higher due to short covering on Thursday as it consolidated some of this week's decline. The high-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI are bearish hinting that a short-term top might be in or is near. Closes below the 20-day moving average crossing would temper the near-term friendly outlook. If it renews the rally off this month's low, June's high crossing is the next upside target.
 
 
 
Natural Gas closed higher on Thursday as it extended the rally off this month's low. The high-range close sets the stage for a steady to higher opening on Friday. Stochastics and the RSI remain bullish signalling that sideways to higher prices are possible near-term. If it extends the aforementioned rally, the reaction high crossing is the next upside target. Closes below the 20-day moving average crossing would confirm that a short-term top has been posted.

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