Prices broke through and above some of the key resistance areas that have been identified over the last six weeks. Breaking above the previous April high and are now testing the March high and February highs. I have no concept of what happened yesterday and whether the abnormal large gain in nat gas (vs daily gains of late) had any relation to the absolute obliteration of the May Crude contract– we will have to monitor the press for that insight. What I know is that gas is not at the very high end of the recent range. Does it break above this time (fourth attempt) — perhaps– it may well choose to consolidate at the high end of the range through expiration and allow the June contract (and its premium to May) to take the role– but I think the market has made its intentions clear that higher prices are coming — just not sure what pace.
Major Support: $1.611, $1.555-$1.519
Minor Support: $1.83, $1.78-$1.765
Major Resistance: $1.993-$2.025, $2.062,$2.08-$2.102
Minor Resistance: $1.968