October WTI Crude Is In With A Bang!

October WTI crude oil is rolling in with a bang! The last two hours have shown heavy participation and a bullish run of 167 ticks. Technicals be damned!

As I mentioned in an earlier update, rollover for WTI crude oil futures can be a very tricky time to trade. Today is a pretty good example of why many pros will not trade during rollover. But, it does give us a chance to study price action and look at a few key levels.

Technicals

For a quick reference, below is the October WTI crude oil daily chart:

Is October WTI crude going to test $50.00?

Today's crude market is trading with remarkable vigor, over 500,000 contracts. For a rollover day, that is a surprise. A few key numbers:

• 13 Day SMA at $48.71

• 62% retracement of current wave at $48.93

• Round numbers at $49.00, $49.50

• Important psyche level of $50.00

In this type of explosive bullish market, I do not recommend holding shorts and being long from a good location can be tough. In fact, I have my popcorn out and am just taking in the action. If you did rack up some ticks during the bullish break, kudos!