Monday, September 16, 2013

Keep an Eye On Oil

With the situation in Syria appearing to have a viable diplomatic solution, one of the key ingredients to oil's recent rally is gone.  That means we could see a slight sell-off in the oil market.  This would be a very welcome development for the US economy as oil prices are currently at a growth-choking level.

There are two important short-term price levels on the chart: ~108, where the 10 and 20 day EMA are right now and the 102-104 level.

Also remember that oil stockpiles are down which will add some support to the bulls.