| Search by tag or site | Login to my blog ? Start my own blog |
 |
Master Limited PartnershipsA blog dedicated to the discussion of MASTER LIMITED PARTNERSHIPS. |
Chart Breakouts Everywhere...more Upside Likely!
Posted on 11/30/2006 05:23 AM | Link | Post Comment
After yesterday's big upside in anything energy lets take a look at some charts which could give us a clue of what lies ahead.
First off is our AMZ MLP index which closed yesterday at a new all time high. The weekly chart broke out 3 weeks ago and i think we still have quite a bit to go here...my first upside target is the 300 level.
Below we have the XOI chart which is doing a very good job of running back to its all time high in the 1220-30 zone. This move looks very powerful and we should see this upleg clear the prior highs shortly.
Meanwhile I had not looked at this in awhile but the XNG index which is the index of big nat gas stocks has clearly broken out to new all time highs.
Isn't it interesting that the stock indexes in energy have moved so strongly during a stretch where oil prices have been going back and forth between 55 and 60 dollars. Yesterday we broke through to 62 dollars and we're higher this morning again. At least from the standpoint of the stocks i think the market is telling us that at these prices companies will be making lots of money. Nat gas has been moving higher for awhile off its bottom
Now take a look at the crude verses 10 year rate chart.
Rates have been falling (prices rising) since July in bonds while oil has been falling in the same stretch. Are we at another turning point here with a top in bonds and a bottom in crude? My bet here is the 10 year note will breakout to new highs. Crude has not emerged from that base yet so until we clear 64 or 65 bucks decisively , i think bonds remain in their uptrend. All of this for MLPS means that we still have 3 strong winds at our backs...rising stock markets...favorable 10 year rates...stable to rising energy prices. And remember i don't think the energy market has priced in any kind of cold winter weather. This morning its quiet as we have no news and no upgrades or downgrades at least so far. So i think we look for mommentum to carry us higher today at the start.
First off is our AMZ MLP index which closed yesterday at a new all time high. The weekly chart broke out 3 weeks ago and i think we still have quite a bit to go here...my first upside target is the 300 level.
Below we have the XOI chart which is doing a very good job of running back to its all time high in the 1220-30 zone. This move looks very powerful and we should see this upleg clear the prior highs shortly.
Meanwhile I had not looked at this in awhile but the XNG index which is the index of big nat gas stocks has clearly broken out to new all time highs.
Isn't it interesting that the stock indexes in energy have moved so strongly during a stretch where oil prices have been going back and forth between 55 and 60 dollars. Yesterday we broke through to 62 dollars and we're higher this morning again. At least from the standpoint of the stocks i think the market is telling us that at these prices companies will be making lots of money. Nat gas has been moving higher for awhile off its bottom
Now take a look at the crude verses 10 year rate chart.
Rates have been falling (prices rising) since July in bonds while oil has been falling in the same stretch. Are we at another turning point here with a top in bonds and a bottom in crude? My bet here is the 10 year note will breakout to new highs. Crude has not emerged from that base yet so until we clear 64 or 65 bucks decisively , i think bonds remain in their uptrend. All of this for MLPS means that we still have 3 strong winds at our backs...rising stock markets...favorable 10 year rates...stable to rising energy prices. And remember i don't think the energy market has priced in any kind of cold winter weather. This morning its quiet as we have no news and no upgrades or downgrades at least so far. So i think we look for mommentum to carry us higher today at the start.
- Enjoy The View Since Its Better Than The Mlp Chart!
- Back To Work Monday!
- Oil Nearing 100 Dollars As Dollar Collapses And Stocks Implode!
- Boo!
- Be Still My Heart. Enbridge Partners Boosts Its Distribution!
- December 2007
- November 2007
- October 2007
- September 2007
- August 2007
- July 2007
- June 2007
- May 2007
- April 2007
- March 2007
- February 2007
- January 2007
- December 2006
- November 2006
- October 2006
- September 2006
- August 2006
- July 2006
- June 2006
Examples
Morpheus Trading - Mon Jul 21, 2008 08:33AM
NOTE: Please click on the charts below to enlarge them if [read more]
NOTE: Please click on the charts below to enlarge them if [read more]
Morpheus Trading - Mon Jul 21, 2008 08:31AM
NOTE: Please click on the charts below to enlarge them i [read more]
NOTE: Please click on the charts below to enlarge them i [read more]
Millionaire Now! by Larry Nusbaum - Tue Jul 22, 2008 09:23AM
Hedge funds have made billions this year shorting the banks, [read more]
Hedge funds have made billions this year shorting the banks, [read more]
<< My Home | TheMoneyBlogs Home