With summer quickly approaching the initiative in the oil market has changed with more aggressive bids similar to what was seen in December of last year. With inflationary conditions in the market becoming evident and supply chain issues causing major ruptures across many markets I still have very a bullish outlook on Oil. That being said, I also expect for a retrace before a continuation higher next month for Oil. This end of month unwind is not uncommon as contracts are rolled, settled and options approach expiration. My ideal target for this trade would be 64.70 where auctioning really picked up in the past 10 days for oil which offers a 6-1. I placed my stops above highs to prevent any impulse move from causing unwanted drawdowns. Feel free to share your opinions and refer to my other post for longer term projections.
