Crude Oil Price Forecast – Crude Oil Markets Bounce From a Major Trend Line

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil market has rallied significantly during the trading session on Friday, as it looks like there is plenty of support at the previous trendline. That being said, the market is more likely than not going to challenge the 50 Day EMA, and then perhaps even break above there. After all, there is plenty of demand for crude oil globally, but there is a huge divergence between the way that markets have been behaving. We have had a massive selloff, but found support right where we needed to, so if we break out to the upside it’s likely that it will just confirm the longer-term trend.

On the other hand, if we break down below the $100 level, that could be very negative for this market, opening up the possibility of a move down to the 200 Day EMA.

Crude Oil Prices Forecast Video for 27.06.22

Brent Crude Oil Technical Analysis

Brent markets have rallied as well, and for the same reason, a major trendline. Ultimately, the 50 Day EMA sits at $112, and therefore it makes a certain amount of sense that we may test that area. If we were to break above, that would be very bullish for oil and therefore send Brent and by proxy the WTI market to the highs again.

If we were to break down below the uptrend line, we would challenge the $100 level. Just as in the WTI market, a breakdown below the $100 level in the Brent market would be very negative, perhaps changing the overall trend. As we spent two years not drilling for oil, it does make a certain amount of sense that there is still concern about supply in various countries.

For a look at all of today’s economic events, check out our economic calendar.