NEW YORK (TheStreet) -- Crude prices are rising, and TheStreet's Joe Deaux asked Jeff Grossman, president of BRG Brokerage, to talk about why.
WTI crude has moved in "lockstep over the last four trading sessions" with equities, Grossman said. He thinks there will be an eventual disconnect, with the pullback coming in equities.
"I see it coming" but can't confirm when, he said, most likely when people are least expecting it and are not properly positioned.
That's not to say that he thinks the price of oil should be higher. In fact, he thinks it should be lower by about $3 per barrel.
"Personally I think we have to work our way lower," he said. With crude currently trading around $95, he think the $92 level is more appropriate for the current conditions, but the equity markets have pulled it higher.
-- Written by Bret Kenwell in Petoskey, Mich.
Bret Kenwell currently writes, blogs and also contributes to Rocco Pendola's Weekly Options Newsletter. Focuses on short- to intermediate-term trading opportunities that can be exposed via options. He prefers to use debit trades on momentum setups and credit trades on support/resistance setups. He also focuses on building long-term wealth by searching for consistent, quality dividend paying companies and long-term growth companies. He considers himself the surfer, not the wave, in relation to the market and himself. He has no allegiance to either the bull side or the bear side.