Crude Oil Price Forecast – Crude oil continues to show support

WTI Crude Oil

The WTI Crude Oil market has pulled back again during the day on Friday just as it did on Wednesday and Thursday and bounced just as it did on those days as well. The $55 level has offered a lot of support based upon the fact that it is where the gap had formed from the drone attacks in Saudi Arabia. Now that the gap has been filled, the idea is that we should bounce and continue to go higher but I don’t necessarily believe that the fundamentals help the idea for a huge move to the upside. Quite frankly, I believe that this market is probably going to chop around between here and the $58 level.

Crude Oil Inventories Video 30.09.19

Brent

Brent markets also have fallen again during the day on Friday only to find buyers underneath. The $60 level is the bottom of the massive gap that occurred in this market, and it is offering massive support. At this point, I think that the market will continue to show a lot of volatility, but I think the 200 day EMA above will continue to be massive resistance, so overall I believe that this market probably rallies a bit, but in general the market looks back and forth just waiting to happen. All things being equal, this probably returns to a short-term traders type of situation more than anything else. If we were to break down below the $60 level though, it would be a very negative sign, just as a break above the 200 day EMA would be very bullish.

Please let us know what you think in the comments below