WTI Crude Oil
The WTI Crude Oil market initially drifted lower during the trading session on Monday but found enough support at the $63 level to turn around and bounce significantly, testing the previous uptrend line at the $64 level. I think the next several hours will be very important, and as I look at this market seems to be very likely that sellers could come in in this area. However, if we were to reach above the $65 level, it will send this market much higher. That would be an extraordinarily bullish sign. I think that the market will continue to be volatile, but if we were to break down below the $63 level, we could breakdown rapidly from there.
Brent
Brent markets also rallied and reached towards the previous uptrend line as well. The $68 level has a certain amount of resistance built into it, and on the hourly chart we are forming a hammer as I record this. Brent markets could roll over from here, perhaps testing the $67 level underneath. If we can break down below that level, the market should then go down to $66, followed by the very important $65 handle. If we break down below that level, I think the market will continue to extend to the downside, showing plenty of the bearishness. I don’t have any interest in putting large positions on, because I think we are at a significant level on the charts, and therefore clarity will be needed.
Crude Oil Video 27.02.18
