Crude Oil Price Analysis – Oil Remains Choppy on Friday

WTI Crude Oil Technical Analysis

The light sweet crude oil market continues to be very noisy and choppy as we are just kind of hanging out just below the $100 level. This makes sense because quite frankly, we don’t really know what is coming next as far as headlines. And of course, there are a lot of questions about the Middle East in general right now, so with that being the case, I think you continue to see a lot of back-and-forth trading.

As we head into the weekend, nobody knows what headlines will come out. There seems to be a panache, if you will, for something to be released on the weekend that upsets markets. So, I think a lot of traders are just exhausted and they’re not willing to take a lot of risk here.

Brent Crude and Core Technical Indicators

The Brent market looks very much the same, as we are hanging around the $105 level. This is a market that has plenty of support underneath near the $100 level, not only because of the psychology around that big figure but the fact that the 50-day EMA sits there.

I think you probably have buyers in that neighborhood, and really, at this point in time, I would look to buy dips. I don’t know that we’ll get another explosive move, it’s possible, or we might just be trying to head into some type of trading range for the summer, which would be typical. It’s just going to be higher than usual, and probably for longer than most people understand.