{"id":59478,"date":"2012-02-09T11:15:54","date_gmt":"2012-02-09T00:15:54","guid":{"rendered":"http:\/\/www.fnarena.com\/index.php\/2012\/02\/09\/a-break-up-for-oil\/"},"modified":"2012-02-09T11:15:54","modified_gmt":"2012-02-09T00:15:54","slug":"a-break-up-for-oil","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2012\/02\/09\/a-break-up-for-oil\/","title":{"rendered":"A Break-Up For Oil"},"content":{"rendered":"
\n\tBy Jonathan Barratt<\/span><\/div>\n
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\n\tAs mentioned last week the oil market has tracked sideways for most of the holiday period, and with and unplanned outage at an Alberta mineral sands plant in Canada it looks like the bulls will outweigh the bears. Production from the plant is likely to stop for two to three weeks and put a crimp on supply of oil to the US which should see the price of WTI<\/span> pick up.<\/div>\n
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\n\tAdding weight to the move was news that Iran is imposing its own sanctions on oil exports to Europe and continued clashes between militants and the Government in Nigeria is adding investor concerns. In addition, the latest round of US Oil Inventories as reported by the API showed stockpiles fell by 4.5 million barrels last week, which if the data from EIA<\/span> supports the same should help underpin further price rises for the commodity. We have turned bullish the commodity and are currently long at 98.90 with a stop at (95.70 well out of harms way).<\/div>\n
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\n\tFor those that continue to follow the Brent WTI<\/span> spread we suggested last week that it would head back to US15.00, it has since traded as high as US20.00 which may represent an intermediate high given the outage in Alberta and subsequent bounce in the WTI<\/span> contract. Lets see how the dust settles in Alberta before making judgment as we feel continue news from Iran and Nigeria will keep Brent bid over WTI<\/span>. <\/div>\n
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\n\tChart Point<\/u><\/div>\n
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\n\tTechnically, as we have seen a solid bounce of support US96.00 (WTI<\/span>) we have to give the bulls chance as we can conclude that we are back in the range and suggest a move back to US100.00 then US102.50. Momentum indicators have also turned bullish which supports the move higher. We have been bearish the market whilst it traded to a low of US96US95.44 however the bounce last nights puts a new spin on the market. We are bullish with stops in at US95.70.<\/div>\n
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\n\tProduced by Jonathan Barratt<\/span> direct from the trading desks of Commodity Broking<\/span> Services, Barratt's<\/span> Bulletin provides expert analysis of commodity markets, global indices and foreign exchange movements. Click here <\/a>to take a no obligation 21-day trial to Barratt's<\/span> or to learn more visit www.barrattsbulletin.com<\/a>. Content included in this article is not by association necessarily the view of FNArena<\/span> (see our disclaimer).<\/em><\/div>\n

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\n\tThis report is not, and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, products, securities or investments. This report does not, and should not be construed as acting to, sponsor, advocate, endorse or promote products or any other products, securities or investments. This report does not purport to make any recommendations or provide any investment or other advice with respect to the purchase, sale or other disposition of products, securities or investments, including, without limitation, any advice to the effect that any related transaction is appropriate for any investment objective or financial situation of a prospective investor. A decision to invest in securities or investments should not be made in reliance on any of the statements in this report. Before making any investment decision, prospective investors should seek advice from their financial advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.<\/i><\/p>\n

\t <\/p>\n","protected":false},"excerpt":{"rendered":"

Jonathan Barratt of Barratt’s Bulletin looks at oil’s recent price break-up and discusses the next move.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[24],"acf":[],"_links":{"self":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts\/59478"}],"collection":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/comments?post=59478"}],"version-history":[{"count":0,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/posts\/59478\/revisions"}],"wp:attachment":[{"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/media?parent=59478"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/categories?post=59478"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/staging.fnarena.com\/index.php\/wp-json\/wp\/v2\/tags?post=59478"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}