Crude Oil Markets Rally Again

WTI Crude Oil

The West Texas Crude Oil market has rallied a bit during the trading session on Thursday to reach towards the highs again as we have seen a lot of volatility in this market that being said, this is a market that I think will eventually break to even higher levels, especially as we have seen such resiliency in the face of even bearish numbers overnight. All things been equal, the $80 level underneath should continue to be a massive support level, but at this point in time I think it is a situation where you cannot chase this trade, even though we are more than likely going to go much higher over the longer term.

Crude Oil Video 21.01.22

Brent

Brent markets of course have rallied a bit during the course of the trading session on Thursday as well, as we are threatening the $89 level. At this point in time, it is probably $90 that we will see next, but pullbacks will be welcomed. The $85 level could end up being support, and therefore I think any type of supportive candlestick in that area would make a lot of sense. The 50 day EMA is curling higher and offering support as well from a dynamic standpoint, so we will have to wait and see if we have to drop all the way down there to make it happen. That being said, it is very unlikely that we drop that far, but it is a possibility because we have gotten so extended. Given enough time, I anticipate that this market goes looking towards $100 at this rate. I have no interest in shorting, and will simply look for pullbacks through the prism of value.

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