WTI has rallied in the face of a stronger dollar and weaker equities.
Although the dollar is up 0.19 percent and the equities are down 0.62 percent Friday morning, U.S. crude oil has held up around $91.
Thursday night we reached new swing highs up to $91.50. Government inventory data will be released on Friday and the American Petroleum numbers showed a much larger build in gasoline than expected. I will be watching gasoline data very closely, as demand has risen a bit, which could provide support for oil prices.
But what's really going on in WTI is a short-covering rally, as we have a year-end closure of positions. Most big traders I have spoken with simply want out of the market so they can cut risk. (Read More: Stock Shorting: CNBC Explains.)