The WTI Crude Oil markets rose during the session on Monday, breaking the top of the hammer from the Friday session. This shows that the market does in fact have buying pressure underneath, mean that we will more than likely continue to go higher. That being the case, we feel that this market could continue to grind higher and up to the 101 level.
If we pullback from here, I feel that this market can be bought, mainly because of the hammer on Friday. That tells me that there are plenty of buyers underneath, and as a result I believe that eventually this market will continue to find buyers going towards the upside, and I believe that eventually we will continue to go all the way to the $102 level where I see a significant amount of resistance above.
Perhaps you should try alternate markets.
In a market like this, you can see that there is plenty of volatility in this general vicinity. Because of this, I feel that perhaps trading the WTI Crude Oil markets via the options market might be the way to go. Because of this, the market should continue to chop around a lot, but the options market can make hanging onto the position much easier than perhaps a futures market position, as the inability to specify your trade size below at least one contract looks as if it’s going to be far too dangerous to be involved in.
Any pullback at this point time should continue to offer buying opportunities. I believe that the market continues to go higher, but it will be a situation where buyers will enter the market again and again, but probably only taking small profits each time, as the market will continue to struggle to break above various noisy areas, especially the 101 level. I believe we get above the 101 level, but it will certainly be difficult to get above there, and I cannot expect that the markets going to change its tune anytime soon, as the market will be positive, that will continue to be very difficult to be involved in.
