Oil Still Bullish

For regular readers of various specialist blogs will know, I have been bullish for some time on many of the major commodities and, in particular, metals, energy and softs such as soyabean, corn and wheat.  In this morning’s post on my oil trading blog my forecast is once again bullish, despite last week’s slide lower for the commodity, with the technical picture continuing to look strong underpinned by the moving averages.

Many forecasters and commentators are now looking towards $100 a barrel and beyond, a forecast I agree with wholeheartedly and as outlined in this morning’s forecast expect to see this price point achieved in Q1 of 2011. From a fundamental perspective a recent report in the FT suggests that Australia, which is one of the world’s largest exporters of commodities of iron ore and coal, expects to see demand for all energy commodities increase in 2011, although perhaps at a slower pace than in 2010.