Crude Oil jumps around during trading session on Tuesday

WTI Crude Oil

The WTI Crude Oil market has rallied a bit during the trading session on Tuesday, but not necessarily an easy trade to take as it has been so choppy. The uptrend line underneath should continue to offer plenty of support, so I think that we could take advantage of this obvious area, and I do think that perhaps the correction in the oil market has been a bit overdone. There should be plenty of value to be had for longer-term holders though, unless of course we can break through the psychologically important trend line below at the $66 level. If we break down below there, then I think the market becomes a net selling opportunity. Until then, small positions could be taken on the thought process that the uptrend line holds.

Brent

Brent markets have also rallied during the trading session on Tuesday, reaching towards the $76 level. The market looks likely to continue to be attracted to the $75 level as possible value, but if we were to break down below the $74.50 level, then the market probably drops down to the $72.50 level. Ultimately, if we break above the highs of the day on Tuesday, it’s likely that we could go to the $78 level after that. We are still well above the uptrend line, so we could have some value hunters jumping into the market right now. I’d be cautious about putting too much money into the market one shot.

Oil Forecast Video 30.05.18