Gasoline Surges, Oil Steady as Harvey Shuts Texas Refineries
Gasoline surged to the highest in two years and oil was steady as flooding from Tropical Storm Harvey inundated refining centers along the Texas coast, shutting more than 10 percent of U.S. fuel-making capacity. Gasoline futures jumped as much as 6.8 percent while oil held gains near $48.
Harvey, the strongest storm to hit the U.S. since 2004, made landfall as a Category 4 hurricane Friday, with torrential rain flooding cities from Corpus Christi to Houston and shutting plants able to process some 2.26 million barrels a day of oil. Major terminals and pipelines that move crude and fuel into and out of Houston-area refineries were also shut, potentially stranding some crude in West Texas and starving New York Harbor of gasoline.
Refineries Shut Down as Harvey Dumps More Rain
Roughly 12% of U.S. oil-refining capacity is out of commission, sparking fears of fuel shortages. Several Houston-area refineries were shut down Sunday as Tropical Storm Harvey continued to drench the area, taking roughly 12% of U.S. fuel-making capacity out of commission and compounding concerns about fuel shortages in coming days.
Exxon Mobil Corp. closed its massive Baytown refinery in a Houston suburb—the second largest in the U.S.—as torrential floodwaters from the storm paralyzed large portions of the area even after it was downgraded from a hurricane. The plant, located on the Houston Ship Channel, can process up to 560,000 barrels of oil a day and feeds fuel into pipelines and barges that move it from Texas to states across the southeast and up the East Coast.
Harvey throws a wrench into U.S. energy engine
HOUSTON (Reuters) – A hurricane in the heart of the U.S. energy industry is expected to upend years of U.S. excess oil capacity and low prices, with the impact expected to reverberate globally and affect energy markets for weeks. Harvey hit the Texas shore as a fierce Category 4 hurricane, causing massive flooding that knocked out 11.2 percent of U.S. refining capacity, a quarter of oil production from the U.S. Gulf of Mexico, and closed ports all along the Texas coast.
Gasoline futures jumped as much as 7 percent to their highest level in more than two years in early Monday trading in Asia as traders took stock of the storm’s impact. The outages will limit the availability of U.S. crude, gasoline and other refined products for global consumers and further push up prices, analysts said. Damage assessments could take days to weeks to complete, and the storm continues to drop near-biblical amounts of rain as it lingers west of Houston, home to oil, gas, pipeline and chemical plants.
Trading Plan Outline
A trading plan is an outline successful traders use to keep focused on decisions with a high probability for profit. The trading plan also eliminates trading scenarios that do not meet your edge.
The outline consists of two core components:
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Although not part of the trading plan itself, professional traders include a process for writing a trading journal [watch video].
Reviewing your performance represents a critical element of trading success ignored by most traders. Which is also why most traders never reach their full potential.
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Each of us brings unique goals, resources skills and education to the trading. We bring different capital, risk tolerance, personalities and emotions to trading. A well-thought trading plan gives you a document personally designed for success.
On the Tape Today | 8-28-17
MOMO Inc traded into a vicious bearish u-turn and sits resting on previous support. Game planning a new short sale using a $35.25 sell stop. Initial target to cover comes in at $32. If the stock market trade lower I will be looking at $28 as the ultimate profit target. Stop loss on a close above $36.
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Bullish Momentum: TSCO
Bearish Momentum: bzun, momo, car, avgo
Bullish Order Flow: WB, TTWO, KORS, SHOP, AA, BABA, VNTV, AABA, BBY, CCI, CRM, V, ADBE, MA, ATVI, CC
Bearish Order Flow: dks, fl, pxd, lb, apa, mnk, hp, cah, aap, agn, hes, eog, bti, apc, etn, aal, lvlt, ual, luv, dal, nue, mdt, khc
Double Normal Volume: MOMO, AAL, SVGO, SIG
Inside Days: kr, aapl. wmt, tgt, low, cvs, rost, fl, gps, dltr, csx, cag, myl, dks, amzn, pm, hd, nwl, tjx, kss, dg, bby, utx, bbby, mcd, slca
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