The Year Ahead – Crude Oil

Long-term trends and behavioral tendencies likely to influence the Crude Oil market in 2017

The January 2016 bottom was fairly normal from a long-term perspective… a case of “oil being oil.”

A convincing move above $52 would complete a Head & Shoulders bottoming process, suggesting an initial target of $62 and a long-term objective toward $100.

Energy stocks are well-correlated with the price of crude, and are now fairly priced versus the historic relationship.

 

January 2016 was “normal” by historic standards

Head & Shoulders bottom?

Energy stocks versus crude oil

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By | 2017-01-05T11:42:31+00:00 January 5th, 2017|Categories: Market Strategy Report|0 Comments

About the Author:

Mark Ungewitter is a Senior Vice President & Investment Officer at Charter Trust Company. He was formerly Director of Portfolio Management at Investors Bank and Trust in Boston, Massachusetts. He holds an M.S. from Bentley University and a B.S. from Massachusetts College of Liberal Arts. He is a member of the American Association of Professional Technical Analysts.

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