Commodities continue to decelerate. The best news of the week is probably $NATGAS which has traded higher than Friday's (October Month-end) low opening price all week. The monthly chart shows how extreme the price level currently is.
Here is the Pring template with the 3 KST's on it. Currently, every KST is in bearish mode but the long term is flat and the intermediate is just below zero. It would not take much to turn it up.
Finally here is a chart of the XLE. After some spurious runs, it has run up against resistance. The KST has already rolled over, and the two previous highs at this level on the KST showed XLE pulled back for at least a month. Notice how the slightly higher highs rolled over quickly.
I'll be covering off a lot more about the energy sector this afternoon on the Commodities Countdown. You can click here to register. Commodities Countdown 20151105. I will discuss the technical picture of the main indexes as well.
Good trading,
Greg Schnell, CMT
