RBOB (GASOLINE FUTURES) UPDATE
My post dated 12/13/2023 read as follows:
“Gasoline futures are now trading close to short-term support where partial liquidation is now recommended. Those of you that have multiple SHORT gasoline positions that were established in the UPPER 25% of the Long-Term trading range $2.35/$2.37 should cover 50% of those positions.”
“Market is presently trading $2.02. This gasoline (RBOB) move is worth approximately $13,600.00 per 1 contract.”
I am now recommending re-establishing those short positions as gasoline futures have rallied sharply and is now trading within my upper 25% parameter.
Clients and subscribers should call for entry levels before the end of today’s trading session. 312-690-7763.
Interestingly enough –
Last week’s EIA’s Petroleum Supply report showed crude oil stocks dropping 9.233 million barrels, which was a much larger draw than the trade expected due to weather conditions, but at the same time there was a significant increase in U.S. gasoline supply.
The EIA report showed U.S. gasoline stocks at a robust 252,977 million barrels, which was their highest reading since February 2021. Over the past four weeks, stocks have increased by 26.923 million barrels.
My Longer-Term vision for gasoline futures remain extremely bearish. Please call me personally for details.
My objective for gasoline futures is the lower 25% of the Long-Term trading range which would be the $120.00 level or lower.
That’s a move worth approximately $40,000.00 per 1 contract from present levels.
Remember there are four important components regarding my strategies…
- Positions are established only in the upper or lower 25% of the Long-Term trading range.
- Positions are established only when my trend following methodology is up or down within that 25% parameter.
- Positions are held until positions reach the opposite extreme high or low. (The upper or lower 25% of the Long-Term trading range).
- Correct money management strategies must be implemented.
There is no question that more that 90% of commodity investors lose money…
And it’s true that my strategies also incur drawdowns…
But – What I offer is a way to be “in the market” when major commodity moves occur.
My strategies require one to maintain –
- Patience
- Commitment
- Vision
- Discipline
Those of you that have an interest in additional details regarding my strategies should call me personally. 312-690-7763.
Would love to hear from you.
In the meantime,
Have a great year trading!
Best
Frank
