The WTI Crude Oil markets fell during the session on Thursday, finding plenty of support down at the $100 level though. The resulting action caused a hammer to form, and now I am getting more and more bullish of this contract. Today is nonfarm payroll Friday though, so there could be a bit of a knee-jerk reaction to the downside. I truly hope this is what we get, because it will have me buying this contract at lower levels.
The market has been bullish to begin with, and this latest pullback should bring in a lot of people into the market that have missed out on the move. The shape of the candle of course is bullish, and I cannot help but think that most of my fellow traders are cognizant of what’s happened. A lot of them will be concerned about getting involved before the employment figures come out, so I don’t expect really much to happen between now and then.
However, I am bullish overall, so…
I hope we get a little bit of a pullback, and that’s quite possible considering that the numbers could disappoint. There is a significant amount of resistance above, so quite frankly it would not surprise me at all to see this market pullback. However, I am willing to put a position on at current levels, albeit a small one. If we get a little bit of a pullback, and I see supportive action near the $100 level, I would be more than willing to add to that position as I am so comfortable with the upside as far as is market is concerned.
As far selling is concerned, I really don’t see it although I do recognize that a break below the $100 level would be somewhat significant. However, with the global demand increasing and the Europeans putting out better economic numbers recently, it would make sense for oil to continue to climb in value, as demand increases due to better economic conditions. If we get a decent jobs number, that should only solidify the move higher.
