The WTI Crude Oil markets rose during the session on Tuesday again, as we continue to see bullishness come into this market. That being the case, remember that a lot of this is headline driven, and news coming out of Egypt and Syria will have an effect on this market. Unfortunately, we never know what the news is about to be, so more than likely there will be a lot of back-and-forth action.
However, I would venture to say that this is a positive market overall, and I am not interested in selling. After all, we have had a pullback to the recent consolidation area that has shown significant support, and because of that I believe that this market is going to go higher. We will eventually see the $112 level get hit in my opinion, and because of that I am more than comfortable buying short-term pullbacks on short term charts.
Nice uptrend
This market is been in a decent uptrend for some time, and the consolidation was simply a resting move on the way to higher prices. Because the area acted as support, I believe that it is simply trying to tell us that the market wants to go higher. However, headlines will and should move this market, possibly changing the attitude in an instant. Because of this, be very careful with trading this market, and make sure to keep your stop losses handy as the volatility could be a killer.
One potential way to play the market could be through the options market, which of course brings a lot of the danger out of your positions, as you can define your risk ahead of time. However, as possible that you could simply save a lot of stress by only buying short-term trades, every time the market dips. I believe that the hourly chart is probably get enough, as the volatility will increase the closer we get to the middle of September. Having said that, I still believe that binary options might be the best way to do it.
