Brent crude is headed for a test of its 2011 high at $126/barrel as tensions with Iran escalate. Upward breakout would offer a long-term target of $150*. A trough above the zero line on 63-day Twiggs Momentum reflects the strong up-trend.
* Target calculation: 125 + ( 125 – 100 ) = 150
The CRB Commodities Index is being boosted by rising crude prices, petroleum-based products making up a third of the index weighting. The index itself is testing resistance at 325, while 63-day Twiggs Momentum is at the zero line. Breakout above 325 would signal a primary up-trend with an initial target of 350*.
* Target calculation: 325 + ( 325 – 300 ) = 350