WTI Crude Oil
The WTI Crude Oil market initially fell during the week but found enough support near the $67 level to turn things around and rallied significantly. The $70 level above has offered resistance more than once, but now that we are closing towards that level, I think it’s only a matter of time before we break above it, continuing the upward pressure. This will be especially true if the US dollar falls, but we also have a lot of tensions in the Middle East that could continue to put bullish pressure on the crude oil markets. The uptrend line underneath is where I define the trend, so I have no interest in shorting.
Brent
Brent markets initially pulled back during the sessions that make up the week, testing the $72.50 level for support. We turned around to rally towards the $75 level, and if we can break above there I think that the market should continue to go much higher. I think that short-term pullbacks continue to offer value the people will take advantage of, even though we are may be a little bit overextended at this point. I think the $70 level underneath will continue to be a bit of a “floor”, and of course the uptrend line underneath there will as well. I think that the $80 level will now be targeted going forward. I think that we could see that sometime over the course of the summer time as tensions continue in the Middle East.