Dennis Gartman's Crude Oil Trade

Speaking on

, Dennis Gartman said that he would sell Brent and buy WTI. He explained that the key for this trade is Libya and investors should watch closely a tribal warfare happening currently in the country. Libya has been a big supplier of crude oil to the world and at one point it had a production of 1,5 million barrels a day. Now, this number is much lower, somewhere around 200 thousand a day, and at times they are not producing at all. Mr. Gartman added that this doesn't mean that there is a serious problem in Libya, but investors have to pay attention to this problem. The problem in Libya should be beneficial to the Brent market, but on the contrary Brent has been struggling. Markets that won't trade higher on bullish news are not bullish markets, said Dennis Gartman. In the next six months he expects to see a return to a normal parity between Brent and WTI.