Crude Oil markets choppy during week, as we reach towards the top of the overall range.

WTI Crude Oil

The WTI Crude Oil market went back and forth during most of the week, ultimately settling on a slightly negative candle, but I see a significant amount of support underneath that should continue to keep this market afloat. Not only do we have a bit of support at the $64 level, but we also have support at the uptrend line just below. Currently, most hedge fund traders that I have been speaking to our long of crude oil, and I think that we will try to make a move higher, perhaps to the $68 level, perhaps even the $70. The uptrend line being broken to the downside would collapse this market to the $60 level, perhaps even lower than that.

Brent

Brent markets were choppy as well, as we continue to bounce around the $70 level. I think if we can break above the top of the weekly candle, the market should be able to go higher, and that should free the market to go to the $75 level eventually. If we do break down below the bottom of the candle, we could go as low as $67, where we would have a short-term uptrend line to be keep things above. If we break down below there, the market then goes down to the $65 level. Expect choppy trading, but it does look as if the buyers are becoming more aggressive as of late.

WTI Video 02.04.18