Regular Scheduled Update for Monday Part III

There has been a lot of talk about gas prices and Crude Oil A lot has been said about the speculators in Crude taking it higher. As a technical, objective trader we cannot get to tied into all of this talk. The bottom line is that we possibly see a topping pattern in Crude Oil. Note the overlapping waves the 107 area (red circle) was broken and this could be indicating that we see one more very recent high, to about 114 or so, then a reversal.

The bottom line is we need to watch the upper blue trend line. A double break below that line is you SELL SIGNAL in Crude for the longer term trend.

I am showing the monthly chart for the Dow Industrials Index because there are some new subscribers to ShepWave.

The Monthly chart above shows the critical double break of the 200 month moving average which occurred in 2009. This was unprecedented. This type of move hasn't occurred in decades. This is why ShepWave is long term BEARISH.

Again, the Pre-Market Update will be published later this evening.

Shep