Crude Oil Markets Take Wild Ride

WTI Crude Oil

The WTI Crude Oil market has gone back and forth in a wild session on Tuesday, as we continue to see a lot of noise based around the Ukrainian border. That being said, I think it is probably only a matter of time before we see this market have to make a bigger decision. Right now, I think we are essentially stuck in a range and trying to figure out where to go next. That is probably not a big surprise, considering that the market has been so overbought for so long that we would need to give it a little bit of a rest and collect our breath. Ultimately, I do think that we go higher but we may have a little bit of sideways action to deal with.

Crude Oil Video 23.02.22

Brent

Brent markets of course are going to do the same thing, but they do look a little bit more bullish than the WTI markets do. Because of this, the market is likely to see the $90 level underneath offer significant support, and therefore I think that is probably about as low as the market can go on any significant selloff. If we were to break down below there, it would obviously be a major change in attitude, and a lot of people would have to reevaluate their entire thought process. I think it is much more likely that we go looking towards the $100 level again, not only in this market but in the WTI grade as well. Buying on the dips continues to be the way going forward, as energy demand is spiking around the world.

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