Light Sweet Crude
Friday has produced a bearish bar in this contract, however it should be noted that we have found support at the $100 mark again, and now have formed a hammer. On the break of the top of today’s hammer, it would suggest a return to the $107 mark. A solid daily close below $100 signals further selling.
It should be noted that this is a market that has been in a strong uptrend, so any shorts would be discouraged until well under $100, clearing the path to $90 a barrel.
Brent
Brent continues its consolidation move directly above the $112.50 mark, and looks to continue to range between that level and the $120 mark. Until we get a daily close below the $112.50 mark, or over the $120 mark, traders should be trading this market as a range bound one, buying at the bottom of it, and selling at the top.
