Oil Forecast January 5th, 2012, Technical Analysis

Light Sweet Crude fell slightly during the session on Wednesday as the markets gave back a bit of the gains from the previous session. The breaking higher continued though, as the market regained the bullish composure, and formed a hammer for the session. The $105 level sitting just above is massive resistance, and if it gives way – this would confirm our flag as being valid and a suspected target of $130 or so. The market is going to be very sensitive to the $105 mark going forward, and it is the reaction to that level that we will trade. We should probably get our answers to direction in the next few days. In the mean time, we are at dangerous levels, and will join the winners as soon as they make their selves known to us.

Oil Forecast January 5th, 2012, Technical Analysis
Oil Forecast January 5th, 2012, Technical Analysis

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