Another warning for crude oil and unleaded gas
Both crude oil and unleaded gas have advanced nicely off recent lows.


However, both are facing stiff seasonal headwinds.


Now, we just saw another signal from our Crude Oil Term Structure indicator, which historically has been very unfavorable for these two markets. The charts and tables below reflect crude oil and unleaded gas performance after the Crude Oil Term Structure indicator crossed above 1.05 for the first time in 21 days.

Here are the results for unleaded gas.

I am not one to sell short into the teeth of a solid advance in price. That said, I am watching closely for any sign of a reversal as a potential shorting opportunity.
