ICE Gasoline Feb Contract - Forecast for 02/04 by Daytradeideas.com

Gasoil was expected to hit our next target of 1001.50/1008 on Friday and with tough resistance in an overbought market we predicted a top here for the time being. This target was hit and high of the day was in fact 1008.50.

Although this was a strong performance and we expect to continue the uptrend we may see a drift lower initially to 998.50. Watch for a low for the day here but if we continue lower there is good support at 992 so little chance of any further losses.

1008 remains tricky resistance but we have the momentum to push through here eventually to the next target of 1014/16. Watch for profit taking here and the chance of a small pullback but if we break higher we should then close a gap at 1021.

Long term levels

1045     2012 High

1030     Oct High

1019     Sept High

1008     Last Week’s High

966       Last Week’s Low

959.75   Dec High

959.75   100 Day Moving Average

The article was first published by DayTradeIdeas.com