Crude Oil Price Forecast – Crude Oil Continues to Move on RumorsAs the OPEC meeting continues, there have been various rumors lead to the media, causing havoc in the markets yet again.
WTI Crude Oil
The West Texas Intermediate Crude Oil market has initially tried to rally during the trading session on Thursday, but then gave back those gains to drop below the $60 level. We are sitting at the 50 day EMA as well, so it does make a certain amount of sense that we do not really know where to go yet. At this point in time, if we break down below the lows of the previous week, then I think we go looking towards the $52.50 level.
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On the other hand, if we break above the highs from the last several sessions, then we are going to retest the previous uptrend line. If we can break above that, then I think we go back towards the $65 level, possibly even $67.50.
Crude Oil Video 02.04.21
Brent markets initially tried to rally during the trading session on Thursday but gave back the gains as well. Just like in the WTI grade, we have found massive support at the 50 day EMA, and of course it is moving on rumors as well. I see the same set up here as I do in the WTI grade, if we break down below the lows over the last couple weeks, we probably break through $60 and go looking towards $55 next. To the upside, if we can break above the $65 level, I think it opens up about a three dollar move without too many issues, perhaps a move to the $70 level given enough time. One thing is for sure, crude oil is going to be volatile but you should also keep in the back of your head that Friday is Good Friday so liquidity could be a bit of an issue as well.
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