Crude Oil (WTI) Technical Analysis
The light sweet crude oil market has shown itself to be very noisy during the trading session here on Wednesday as we continue to move on to the latest headlines coming out of the Middle East. That being said, the market looks very likely to I think still have plenty of support. But if we pull back here, I think there’s one particular place I’ll be watching more than others and that’s $78.50.
I do not think that we have much in the way of downward pressure that’s going to be lasting at least as long as the war is still going on, unless, and the one thing that I think would change this more than anything else beyond a ceasefire, would be the opening of the Straits of Hormuz. Because of this I think you have to be very cautious, I think you also have to be very careful not only about when you get in but the size that you trade with. I think buying on the dips is probably the best way to go if you’re involved at all right now.
Brent Crude Oil (BZ) Technical Analysis
Brent markets look very much the same using $85.50 as a certain amount of support. I do think it’s a squishy area of support, so I’m not necessarily looking for a specific bounce from a specific place.
Overall, I think this is a market that is going to trend a little bit higher, but as things stand right now, I think we have oil priced fairly well. Unfortunately, the markets are going to be moving on the next major headline, so again, like the light sweet crude oil market, you’re going to have to be very cautious here.
