Light Sweet Crude
The CL contract rose during the session on Tuesday as traders continue to reach for the $100 mark. The market certainly looks like it will find it at this point, but it should also find selling there as well. The entering of longs at this point would simply be chasing a move that is almost finished. We are looking to see the reaction to $100 before forming new analysis at this point, but we feel a pullback is coming because of that level.
Brent markets rose during the session on Tuesday as traders continue to buy into the oil markets. The $110 level continues to support the market, and as a result we think the bias is to the upside at the moment, but looks constrained to stay under $115 as it looks resistive. The consolidation lends itself to scalping the market at the moment, and that is what we are doing.