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The Energy Report

Phil Flynn
Pflynn@pfgbest.com


The Energy Report for Friday, November 20, 2009

Let’s all try to agree on someone to blame. I mean can we at least have some bi-partisan blaming?

Yesterday, before the Congress Joint Economic Committee, there was some exciting and heated exchanges between Treasury Secretary Tim Geithner and some House Republicans. There were fireworks as Republican Rep. Kevin Brady of Texas blamed Geithner for a major role in creating the economic mess we are in when he was the president of the New York Federal Reserve Bank while all the problems were going on. He called on Mr. Geithner to take some responsibility. Mr. Geithner shot back, "What I can't take responsibility is for the legacy of crises you've bequeathed this country." (Wow! This is great!) Republicans going after Democrats, Democrats going after Republicans! I thought it would come to blows.

Perhaps to cool things off a bit we should agree on someone else to blame. Blame Canada! No, I mean blame China! That’s right. That's the ticket; let's just blame China! Senator Charles Schumer said it is China’s fault that we had a global economic collapse. Why? Well because they manipulate their currency! Not only that Senator Schumer says there are certainly hundreds of thousands and maybe even more Americans who are out of work because the Chinese are unfair and manipulate their currency. Senator Schumer says that’s nothing more important than this calling for tariffs on Chinese imports in retaliation. Perhaps this kind of talk is giving a boost to the dollar but more than likely it is good old fashion pre-holiday week profit taking.

For oil the major support is still $75 and resistance around $83 and it is unlikely that oil can really break out of this trading range until the end of the year. We will see light volume next week so be on guard for some goofiness but the bullish influences of economic policies are being offset by ample supply. Today is that last trading day on the December contract so we will be on guard for even more goofiness. We will be day trading January so call for levels.

Attention natural gas traders! Turkey Day is coming fast. So give thanks that the Weekly Natural Gas Storage Report will be released a day early at 12:00 PM (Eastern Time) Wednesday, November 25, 2009 due to the closure of the Federal government on Thursday, November 26. That is good news because most traders will not want to be around on Black Friday!

Start the weekend right by watching the Fox Business network where you can see me every day! PFGBest can fulfill all your trading needs! Futures Stocks and Securities and Cash Metals! Call me to find out how at 800-935-6487 or email me at pflynn@pfgbest.com to open your account.

We're short January crude from apprx 8020 - power stop to 7900!

Stopped on short January RBOB from apprx at apprx 20500.

We're long January heating oil from apprx 20000 - stop 19800.

Buy January natural gas at 455 - stop 445.



There is a substantial risk of loss in trading futures and options.

Past performance is not indicative of future results. The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or commodities. PFGBEST, its officers and directors may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction.

Phil Flynn is Vice President, Energy Analyst and General Market Analyst with PFGBEST (www.PFGBEST.com). Phil is one of the world's leading energy market analysts, providing individual investors, professional traders and institutions with up-to-the-minute investment and risk management insight into global petroleum, gasoline and energy markets. Phil's market commentary, fundamental and technical analysis, and long-term forecasts are sought by industry executives, investors and media worldwide.

PLACING CONTINGENT ORDERS SUCH AS "STOP LOSS" OR "STOP LIMIT" ORDERS WILL NOT NECESSARILY LIMIT YOUR LOSSES TO THE INTENDED AMOUNTS. SINCE MARKET CONDITIONS MAY MAKE IT IMPOSSIBLE TO EXECUTE SUCH ORDERS.

Past performance is not indicative of future results. The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or commodities. Alaron Trading Corp. its officers and directors may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction.

Contact Phil at 800-935-6487 or Pflynn@pfgbest.com.