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TFC Commodity Trading Forum

Gasoline Continues to Rally *PIC*

Gasoline continues to rally like it does every year in the 1st 1/4 blowing the socks off drivers, The seasonal sweet spot is from Feb into late spring but often begins in Dec or even Nov at times. This has been very consistent going back to the late 90's on the charts. So far it is right on track once again with everyone jumping up and down and playing the blame game as usual. The more things change the more they stay the same they say. Price resistance is nearby at the late April/11 high of 3.47 which would be a double top. Price broke up over 2.50 resistance in Feb/11 and after a rally price pulled back to that 2.50 breakout point and successfully tested this as support last Oct/Nov and Dec. A breakout over 3.47 that held would make another higher low and higher high and be wildly bullish for Gasoline and really put a monkey wrench into the economy.
That would be bullish for a Republican win in November. Wouldn't take much to tip the scales either way which is presently like a teeter totter, with the economy always the major factor in voter approval. Presidents consistently do not get re-elected with a poor economy historically. Also there are 33 Senators up for re-election. 21 are Democrats and only 10 are Republican with 2 Independents. So there is a lot at stake in this upcoming election in November politically and economically. A poor economy would likely see the Republicans win the Presidency and the Senate and already control the House of Representatives. In other words a clean sweep. The next few months should be interesting to say the least with the markets. And Gasoline prices really piss people off. The Gasoline rally does tend to end in the spring but Crude runs well into summer/fall.