After an 11 day of trading sideways Friday's session suggests a further slow down: after a mostly steady day, NYMEX Heating Oil lost 0.95% deep into the session, ending up at $2.65 per gallon.
A study of Heating Oil Futures's chart reveals various key levels to watch: Heating Oil could begin to recover as it approaches significant support, now 2 cents away from $2.62. Dipping below could be an indication that further losses are ahead. Trend-focused traders would be interested to note that Heating Oil made an initial break below its 5 day Simple Moving Average at $2.68, a possible indication of a forthcoming negative trend. Analysis based on the asset volatility indicates that NY Heating Oil's lower Bollinger Band® is at $2.6, indicating that the asset has overextended to the downside and could, therefore, bounce back as buyers look for bargains.
With market volatility ebbing, the current technical outlook indicates Heating Oil Futures will remain range-bound for the immediate future.
Positive performances can be seen by looking at other Energy markets as Natural Gas is trading around $2.11 after ending Friday's session at $2 (up 4.93% today).
Energy have been showing mixed performances as a flat day for Crude Oil, closing at $82.68.
The commodity has been trending lower for about 2 months. NY Heating Oil traded as high as $4.94 before shedding 33.27% lower over the past six months.