Clean Tankers’ light extinguished. Baltic Tanker Indices – Week 18 commentary.

by Dave Walker

CLEAN TANKERS

Week 18’s Clean Tanker Index extinguished the faint hope seen over past weeks and steadily declined to a 536 fix, down 45 points on the week. Thumbing its nose at our thoughts of possible recovery, the messy candlestick formation was just that – messy.

The RSI divergence that gave previous hope and seemed to hold the index faded, falling below neutral to 35.71. In turn the MACD resumed its bearish course, reflecting the loss of index strength.

Our 625 – 650 resistance ideas proved too high, with the index turning down in the upper 500s. With the latest move our attention is again on our mid-500s target from Week 15. Some support may develop at or below that zone, at values the Clean Tanker Index held through mid-2018.


DIRTY TANKERS

For Week 18 the Dirty Tanker Index echoed the range seen in the previous week. Fixing up a few points at 645, the index continued to hover just below our 675 – 700 resistance thoughts.

The RSI stayed relatively flat at 18.65, still maintaining a strong bottoming stance. Very slowly closing on the signal line, the MACD also mimicked the sideways travel as the index flattened out.

Well above our Week 12 mid-500s support and holding below our 675 – 700 resistance zone, the Dirty Tankers stayed relatively inert. Some bias to the upside would be welcome, but energy to overcome the inertia hasn’t been seen so far.


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