The crude oil market, the West Texas Intermediate Crude Oil Market, pulled back just a little bit during the early hours on Friday, only to turn around and rally again as we are pressuring the 50-day EMA. It is worth noting that the markets have a lot to worry about when it comes to Russia and Ukraine, and it's also probably worth noting that this is a grade of crude oil that typically tends to be more American than anything else, and it's worth noting because of this, the PMI numbers that came out of America being as expected, while European ones lower than expected should continue to put a little bit of a bid in WTI. The $72.50 level above should be a significant amount of resistance. And if we can break above there, then the 200 day EMA comes into the picture. The $65 level continues to be a massive floor.

The Brent market is right around the 50 day EMA as well. And we pulled back a bit just to turn around and show signs of strength. The $77 level above opens up the possibility of moving to the $80 level if we can break above there. The $70 level underneath continues to be a massive floor, and it is probably worth noting that both grades of crude oil are near the bottom of their two-year range. So with all of that being said, it does make a certain amount of sense that this market would bounce a bit. I don't necessarily think that we will go bullish for the longer term move. I just think that we are in the midst of fairly obvious consolidation.