WTI Crude Oil Technical Analysis
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 forecastsThe light sweet crude oil market has gapped lower to kick off the trading week on Monday, testing the 200-day EMA almost immediately. The 200-day EMA, of course, is a technical indicator that a lot of people will watch, but I think what we will be watching much closer than that will be whether or not the headlines change because, quite frankly, I’m starting to see details that it’s a little difficult for me to believe that it could be agreed upon by the American.
So, we’ll wait and see, but if we do break down below the 200-day EMA, then that would suggest continuation, perhaps all the way down to $70. If we bounce from here, I’d be looking right around $85 for a potential ceiling.
Brent Crude Oil Technical Analysis
The Brent market has already broken down below the 200-day EMA, which, of course, is going to open up the possibility of filling the gap all the way down at $73.50 from the beginning of the war. If we rally from here, it’d be somewhere around $90. I would expect to see some type of ceiling.
This is ultimately a market that I think is trying to price in perhaps a little bit more supply than we will have just by opening up the Strait. There will be a 2 or 3-week lag pretty quickly, but we’ll see, we’ll see how this plays out. This is a market that again, unfortunately, the wrong headline could send it straight back up $7 a barrel. So, by all means, be cautious.
