WTI Crude Oil Technical Analysis
The light sweet crude oil market has jumped to begin the trading week. That is not a huge surprise, because we have now seen Saudi Arabia have to shut down one of its pipelines due to attacks.
Brent Oil Price Forecast
Every new Brent Oil analysis as it publishes, today's technical signal and key levels, live price — on one page.
See all Brent Oil forecastsSomebody in the Middle East throws a missile or a drone at another person in the Middle East, and it causes oil to spike. It is the same game we have been playing for some time. But we have been bullish to begin with, so this was yet another thing, I suspect, that traders used as an excuse to start buying.
We are a little overstretched in this market; I am the first to admit that, but we are, at least in the oil markets, trading on the latest headline and not necessarily anything beyond that. If we get bad news for supply, it sends prices higher, and that is what you have seen. Short-term pullbacks will probably be thought of as buying opportunities in this type of environment.
Brent Crude Oil Technical Analysis
Brent markets look very much the same, with the $100 level underneath offering support. To the upside, the $115 level could be a bit of resistance. This is a market that is a little overdone as well, but again, you have to keep in mind this is a market that is moving on fear more than anything else.
So really, technical analysis is worth something, but not as much as it might be in an otherwise calm market. At this juncture, it looks like oil continues to see a bid as long as the hostilities continue.
If you’d like to know more about how to trade natural gas, please visit our educational area.