Handysize Technical commentary, Week 14: Beware sudden enthusiasm.

April 10, 2017

Back during Week #11 (March 13 – 19) the Baltic Handysize

bulk carrier index passed upwards through our possible 
support/resistance area of 475 – 500.

The index had previously pierced this area in its downward run post-New Year 2017. 

 

Referring to the charts, we can see the index built on support  around 300 in mid-2016, and again in the 375-400
zone, just prior to the volatility seen over the US Presidential election period.


Should the current upward trend continue, some support may consolidate in the previously-mentioned 475-500 region as things average out.
There may be some weakening of this trend shortly; however the MACD crossed into positive territory in Week #12 (Mar 20 -26).

The RSI showed upward over-reach during 2016, seeing values in the 80-90 area.These days, the RSI is in neutral territory in the 40s.

 Naturally, beware sudden enthusiasm amongst ship-owners causing major newbuild orders. Our floor area of 300 may then prove to be a testing ground for support (or lack thereof, hah!). 

Splash 247 reported a series of recent KamsarMax orders.
Of course, a Kamsarmax is outside our Handysize discussion, but newbuild ordering can be a very contagious virus. Any slowdown in scrapping of older vessels, in a scramble for better rates, will have a similar effect. This nasty fever may be rising.

Please reload

Recent Posts

Please reload

Archive

Please reload

Tags

Disclaimer: Content on this site is provided  for information purposes only. We are not a registered investment advisor, broker, dealer, financial analyst, financial bank, securities broker or financial planner. The contents of this site are not intended to be, and do not constitute, financial advice. For any investment decision, you should seek the advice of a qualified and registered securities professional. This website is provided without any representations, warranties or conditions of any kind. The opinions expressed by www.supermar.info article authors and those providing comments are theirs alone, and do not reflect the opinions of Superior Maritime. Superior Maritime is not responsible for the accuracy of any of the information supplied by these authors.

  • twitter

©2016-2019 SUPERIOR MARITIME