October heating oil prices traded flat to lower during the initial morning hours. The heating oil market closed higher in six of the last seven sessions, and that has some traders suggesting that the market could be technically overbought in the near term. The Commitments of Traders Futures and Options report as of September 11th showed non-commercial traders were net long 14,510 contracts, a decrease of 2,381. Non-commercial and nonreportable traders combined held a net long position of 38,624 contracts, for a small increase on the week. One source of concern for the heating oil market comes from the recent drop in open interest while prices broke out above their August trading range.
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