The Clean Tanker Index continued to weaken in Week 26, lightly testing the bottom end of our 500 – 525 support ideas with a 493 low. At closing the index recovered slightly to 496.
The weakly bearish MACD continued into relatively strong negative values, as the RSI indifferently carried on in neutral territory at 39.22. With such a slight recovery on the week, the strength of our 500 – 525 support zone is yet to be discovered.
Going back through 2017, we can see several points
where the index recovered from this level, and if the RSI shows signs of dropping over the next while we might see another. Once again though, barring anything dramatic, our upside resistance ideas are still in the 575 – 600 zone; not that far away.
The Dirty Tanker Index took a sizable drop from 745 to a 712 close in Week 26, perhaps bolstering our Week 24 thoughts of consolidation in the 675 – 750 region.
Even as the index displayed a weak week, it’s now sitting squarely in the middle of our 675 – 750 consolidation/support area. It’s worth watching to see if this weakness grows, or if we see a bounce up from present values.