Crude Oil Markets Exploded to the Upside for the Week

WTI Crude Oil

The West Texas Intermediate Crude Oil market has rallied during the course of the week to break above the $83 level. We are well above the $80 level as well and breaking above there during the course of the week is a very bullish sign. At this point in time, markets are more than likely going to get a little bit of a pullback, but that pullback should end up being a buying opportunity. After all, crude oil continues to strengthen due to the fact that omicron is not as serious as people had been concerned, and now it looks like OPEC+ continues to struggle to pump out enough oil. With this being the case, every time we get a bit of a pullback it more than likely will not be in a nice buying opportunity.

WTI Oil Video 17.01.22

Brent

Brent markets have a course rallied as well, reaching towards the $86 level. We are a little bit overextended at this point, so what am hoping to see is some type of pullback that I can take advantage of. It is possible that I may have to wait for a little bit of value. The $80 level should be supportive, but if we break to a fresh, new high, then you cannot argue with that, and it is likely that the market could go higher to reach towards the $90 level above. Furthermore, you should also pay attention to the US dollar, because if it continues to fall then it is likely that oil will probably continue to get a bit of a boost due to that as well.

For a look at all of today’s economic events, check out our economic calendar.