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Crude Oil Price Analysis – Crude Oil Continues to Find Struggles
Published: May 30, 2025, 14:30 GMT+00:00
The crude oil markets continue to find a lot of struggles at this point, as the market looks as if it is trying to find a bottom. However, this is a market that faces a lot of over supply at the moment.
WTI/CL Technical Analysis
The light sweet crude oil market initially did rally a bit in the early hours on Friday as we tried to reach and break above the $62 level. The $62 level, of course, is an area that has been the epicenter of trading in both directions over the last several weeks. So, at this point in time, it’s likely that we will continue to react to it.
The market pulled back to the $60 level, which of course is a large round psychologically significant figure and an area that has been noisy more than once. Ultimately, if we break down below there, then the massive amount of support at $55 comes into play. If we turn around and take out the 50-day EMA to the upside, then I think we’ve got a real shot at going back to $65. All things being equal, I think oil remains noisy more than anything else.
Brent Technical Analysis
Brent markets initially tried to break above the $64 level, but gave back those gains, and now it looks like we are plummeting. The market has a massive amount of support near the $60 level. So, I think you’ve got a situation where traders are trying to form some type of basing pattern, but OPEC, at the same time, continues to flood the market with supplies. So, it’s really struggling. We’re somewhat drowning in oil, but ultimately, I do think that we will find a way to turn things around. But right now, I’m not willing to stick my neck out. I don’t want to necessarily short this market, although you can make an argument for driving it down to $60.
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About the Author
Christopher Lewisauthor
Chris is a proprietary trader with more than 20 years of experience across various markets, including currencies, indices and commodities. As a senior analyst at FXEmpire since the website’s early days, he offers readers advanced market perspectives to navigate today’s financial landscape with confidence.
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