Crude Oil Price Forecast August 15, 2017, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market had a very volatile session on Monday, losing almost $1.00 in a single hour. The oil markets have been a bit ahead of themselves, and the massive selling looks likely to continue. If we can break below the $48 level on volume and of course a close below the daily lose, I think that the market could go towards the $47.50 level next, and then below there. I think rallies at this point will be sold, as we are starting to face a significant amount of bearish pressure in a market that is oversupplied. I have no interest in buying, least not until we break above the $49 level, which does not look likely after this type of selloff.

Crude Oil Video 15.8.17

Brent

Brent markets cratered during the day on Monday, and it now looks as if we are going to break below the $51 level. A clearance of that level should send this market down to the $50 handle, which has a certain amount of psychological significance. If we can break down below there, I believe that the market should continue to go much lower if we break down below there, which would be a very negative sign. Any bounce at this point in time should be a selling opportunity based upon exhaustion. The $52.50 level above would be massively resistive, and a break above there would turn things around completely. Either way, I think we are going to see a lot of volatility, as the oil markets continue to be a thorn in the side of the most traders. Because of this, smaller positions are probably going to be preferred, as it will protect your trading account in a much more steadfast manner going forward.