Nov 28, 2014, (9:35AM EST)
Happy new year to you all!
Well, what better way to start a new year just after giving thanks for the old one?
So, my new year starts from today, after giving thanks to the Universe for filling our lives with daily “entertainment” from stock markets
And, what an interesting start we have for this special “new year”
Oil prices, and other commodities are crashing, the Dollar index is rallying and equities have become anxious about new price war in crude oil. In short, OPEC is going to flood oil market with 30 million barrels of oil per day, for the next 6 months, which will crush oil prices. As a result, all major commodities; crude oil, gold, silver, copper etc are seeing losses in multiple percentile points today.
OPEC’s decision will crush those oil companies in U.S.- and elsewhere, that have high cost of producing oil.
That’s why, U.S. stock futures have been trading negative, dragged down by energy stocks.
Will this drop in energy stocks change the bullish trend in U.S. markets?
That will be hinted by closing levels in U.S. stock indexes today. A highly negative close might trigger another wave of correction.
A flat closing, or positive closing will keep these markets range bound.
So, you can watch the resistance and support levels carefully, and trade accordingly.
I’ll go and schedule my business meetings for the weekend
Good luck, have fun, have a great session in markets today!
See you later.