Light Sweet Crude markets rose during the Thursday session as traders were willing to go out on the risk curve a bit. The down trending channel is currently being tested, but we wouldn't consider it broken until we get a close above the next handle, which happens to be the large and important $100 level. The breaking of that level will more than likely have the market run to the $104 level, and as we approach that level - we will see the real strength, or lack of, in this market.

With the recent price action, we still prefer the sell side, but we need to see the market print a weak candle in the area. The demand for oil simply isn't there, and the move is probably more of an anti-Dollar one than one based upon real fundamentals in the oil markets. We are looking to sell, but only after a failure in the $100 level.

Oil

Oil Forecast February 10, 2012, Technical Analysis

Crude Oil Pivot Points (Time Frame: 1 Day)

 Name  S3  S2  S1  Pivot  R1  R2  R3

 Classic
97.3433
98.0667
98.7533
99.4767
100.163
100.887
101.573

 Fibonacci
98.0667
98.6053
98.9380
99.4767
100.015
100.348
100.887

 Camarilla
99.0523
99.1815
99.3107
99.4767
99.5692
99.6985
99.8277

 Woodie's
-
98.0575
98.7350
99.4675
100.145
100.878
-

 DeMark's
-
-
100.525
99.6575
99.1150
-
-