For Week 22 the Clean Tanker Index fixed at 537, showing a very tight 4-point range. Our Week 20 thoughts of upside resistance building around present values may be gaining some credibility, although Week 22’s strong gap-up on open is quite noticeable.
Our mid-500s support ideas from back in January of this year, and mentioned several times since, have been tested in the last few weeks. Our recent upside resistance target around 550 – 575 may be seeing some acknowledgement with Week 22’s high of 541, but let’s not read too much into the indices during a holiday week. Overall the Clean Tankers may still be gaining strength.
Dropping again during Week 22, the Dirty Tanker Index continued to rebound off our 675 – 700 resistance zone and fixed at 636, down another 9 points.
Our RSI dropped further towards bottoming territory at 24.93. The MACD shied away from crossing the signal-line, acknowledging the recent bearishness, but both indicators may be hinting at gathering strength even as the index drops.
The recent index action somewhat confirms our Week 21 thoughts of some sideways motion, as the index takes a trip back to Week 13 / 14 levels and hopefully support around the 2016 and 2017 lows. We’re watching to see if the index is good for another run at our 675 – 700 resistance.