Crude Oil Price Forecast – Crude Oil Continues to See Buyers

WTI Crude Oil Technical Analysis

Crude oil initially pulled back just a bit during the early hours on Wednesday, only to turn around and show signs of life. Ultimately, this is a situation where we continue to see the $80 level above ours as a bit of a ceiling, in what has been somewhat of a broken record, I continue to say the dips are buying opportunities.

It’s just a matter of whether or not we can build up enough pressure to finally take out the ceiling here at the $80 level. If we do break above there, then it’s likely that the $85 level gets targeted. The 200 day EMA continues to offer plenty of support right along with the 50 day EMA.

Brent Crude Oil Technical Analysis

Brent looks very much the same as we have bounced from the 200 day EMA, and now we have to keep an eye on the potential of the $84.50 level above being a massive resistance barrier. This is an area that has been tested multiple times, so it should not be a huge surprise.

And if we can take it out then we can really start to take off. Short term pullbacks will continue to see plenty of support near the 200 day EMA and the 50 day EMA. But at this point in time, I don’t know what it’s going to take to send this market higher, but it certainly looks as if there is enough resiliency that sooner or later it does.

If we break out, then $95 will be your ultimate target and we will probably see that sometime over the summer. After all, we are heading into a cyclically bullish time of year and that is something that most traders pay close attention to. Furthermore, supply is a bit tight. The Middle East, of course, has plenty of tension and the US dollar looks like it is starting to slip a little bit. So that all comes together in the idea of perhaps lifting the oil markets. I have no interest in selling either grade that I trade.

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