Crude Oil Forecast August 9, 2017, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market continues to consolidate, as we await the Crude Oil Inventories announcement coming out today. I think if we can break above the $50 level, the market can go much higher. However, I would wait until after the announcement to take a trade. Alternately, if we break down below the $48.50 level after the announcement, we should then go down to the $47.50 level. I believe that the oil markets are simply going to sit sideways until we get that figure. I believe that the oil markets are highly vulnerable to surprise, so pay attention to the reaction, as it will lead us as to where to go next.

Oil Forecast Video 09.8.17

Brent

Brent markets initially tried to rally during the day but found the $52.50 level to be a bit too resistive to overcome. I think that the market going back and forth shows a severe lack of direction, at least until we get that inventory announcement. If we can break above the $53 level, I’d be a buyer post announcement. Alternately, if we can break down below the $51 level, the market should then go down to the $50 level. I think that the volatility continues, and we also have the US dollar strengthening, so we could very well see this market break down. However, we have made higher lows as of late, so it looks as if the buyers are trying to take over despite the currency headwinds that we will almost undoubtedly see.