The WTI Crude Oil markets fell during the bulk of the session on Wednesday, testing the $103 level. That being the case, it appears that we are staying within the consolidation area that we have been in, and I have to point out the fact that there is a gap that formed just below, and it could in fact cause quite a bit of support in this general vicinity. It really doesn’t matter to me, I am bullish of the market anyway, and recognize that selling really is in an option as we are most obviously in an uptrend. This uptrend should continue to push the market higher given enough time, and I do think that ultimately we will finally break above the $105 level, which would signify that the markets ready to continue the next leg up.
I’m buying dips.
I think this market is one that I will continue to buy dips and, probably based off of short-term charts more than anything else. However, if we broke down below the $102 level, I would have to think that we would continue down to the $101 level, as it would more than likely signifying that the ascending triangle support should come back into the market somewhere near that area. Ultimately though, that would only represent a buying opportunity to me and I still think that a break above $105 is in fact going to happen longer-term.
The beauty of the ascending triangle is that they can be measured, and it gives us a target to aim for. On a break above the $105 level, I believe that this market will head to roughly the $113 level, but that doesn’t necessarily mean that it will happen overnight. I think that it would be one of those deals where you can buy at every time it dips on the breakout, and up to the $113 handle. That being the case, I believe that this will be very positive market, and one that I will go to time and time again for short-term gains, using the bigger picture as a frame of reference.
