Energy markets have surged dramatically higher again. Brent Oil has pulled back sharply to the low $120s but unless a close below $118, a break above the $147.50 record high  posted in July 2008 is expected, strategists at Credit Suisse report.

Close below $118.05 needed to suggest an exhaustion peak

“Although a sharp intraday setback has been seen, we need to see a close below the lower end of the price gap from this morning at $118.05 to suggest we may have seen an exhaustion peak.”

“Above $147.50/$150 and we see resistance next at $158.17 and then the $164/170 zone. Beyond here and we see little in the way until $200.”