WTI/CL Technical Analysis
The light sweet crude oil market has rallied a bit during the course of the trading session here on Wednesday, as we continue to fight our way above the $65 level, which was previous resistance. So, the question is, can we take out the top of the shooting star from the previous session? Because if we do, that could open up a move all the way to the 200 day EMA. If we have a short term pullback from here, the 50 day EMA comes into the picture as potential support.
Brent Technical Analysis
Brent is now threatening the $68 level and if we can break above there, then that could open up a big move, perhaps all the way to the 200 day EMA. Short term pullbacks continue to be buying opportunities, from what I can see, with the 50 day EMA just below the last couple of days showing potential support. This is a market that I think continues to see a lot of consolidation. And with that being the case, I think we are in the midst of accumulation, especially with this volume.
The question will be now whether or not we can find the momentum to finally break out. I do expect it to happen sometime fairly soon, but the question is whether or not it’s now or if we have to work a little bit between now and that time. I have no interest in shorting. I do believe that if we fall and then bounce, that bounce might be something that you can buy as well.
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