Prices consolidated last week, expanding the lower side of the recent range, but staying well below the highs of the previous weeks, which contain the expiration premium. The market seems to be waiting for the next catalyst as the weather forecasts have remained bearish (so I have been told every day by the bears) yet prices have not capitulated, so there has to be other influences on the traders.
Last week’s action provided some bullish divergences as the price closed the week higher on higher volume and slight gains in open interest which are supportive to the longer term trade. The CFTC report is not published until later today and will update appropriately.
