The WTI Crude Oil markets did very little during the session on Friday by the time we close, but that doesn’t mean that there wasn’t any action. In fact, the market had broken above the $104 level which of course was a relatively positive sign, but gave back enough gains in order to form a shooting star. With that, it’s very difficult to get excited about going long at the moment but I do recognize that the $103 level should be supportive now. I also see the $102 level as being supportive, so I believe that any pullback here should be relatively shallow. With that, I am interested in going long of this market, but with that I feel that this market could be a little bit choppy in this general vicinity.
If we can get above the $105 level, something that I do think will happen given enough time, this market really could go higher at that point. I believe that there is an open door all the way to the $110 level on that move, but again it’s going to take some momentum.
Bullish only
I am only bullish of this market going forward. I see far too much in the way of support all the way down to the $97 level, so it is very difficult to get overly excited about selling. Sure, some short-term traders will make decent money shorting this market on the pullbacks, but that’s the hardest way to make money in a market like this, something I am not interested in trying to do. By simply writing out the momentum to the upside, we should continue to see profits every time we buy. Granted, there’s no guarantee in the marketplace, but it certainly looks like this market wants to go much higher given enough time. I believe that a pullback is coming, but it should simply represent “value” to most traders out there, and as a result I see no reason why the traders will step back in and pick up more and more contracts going forward.
