11/01/12 Crude pit session

High: 87.42

Low: 86.09

Close / Settlement: 87.06

Getting back into the pit after Sandy devastated the greater New York City area. There has been light volume as the NYMEX reopens floor trading. Yesterday we saw DOE/EIA inventories come out with a draw of -1.9 million barrels, causing crude to chop higher and settle the pit session near the highs of the day. We can expect to see a lot of volatility in the market because of non-farm Employment number coming out at 8:30 am EST.  Levels of Support are 86.00, 85.76, and 85.10. Levels of Resistance are 86.90, 87.62, and 88.00.

Natural Gas Pit session

High: 3.719

Low: 3.653

Close settlement:  3.702

For Natural Gas we can expect to trend lower, as long as we stay below 3.600. We also had inventories for NG yesterday and saw a build. So let’s watch for the selling to come in below that 3.600.