Energy Future Update

Oil Continues its free fall and no chances of looking to stop, we do not see any technical sign of a recovery. Even if we are overstretched on our weekly and daily charts we could easily go towards $50 a barrel in the next months with ample stocks and no “bad” news on the geopolitical side.

The Iranian president said “we don’t need a nuclear bomb”. US UN Ambassador said the denial is not credible. Market sentiment has completely changed and each normally is a reason to sell.

Short term WTI support at $59.60/25 and 2006 low at $57.72.