Crude Oil Price Forecast – Crude Oil Markets Bounce From Trendline

WTI Crude Oil

The West Texas Intermediate Crude Oil market has rallied a bit during the trading session on Tuesday, bouncing from an uptrend line that has been important multiple times. That being said, the 50 day EMA sits right in the middle, so it looks like the market is trying to figure out whether or not it is going to make a bigger move. Currently, we have been trying to figure out whether or not the OPEC production increases coming will drive markets lower, right along with the concerns of Covid flareups in Europe. On the other hand, the reopening trade continues to push this market higher. With that being the case, I expect to see more choppy behavior.

Crude Oil Video 07.04.21

Brent

Brent markets of course are doing the same thing as you would expect, with the 50 day EMA underneath offering support, right along with the uptrend line. The $65 level above is a barrier that will be difficult to overcome, but of this market does that it will continue the uptrend, not only in this work it, but more than likely will drag the WTI market higher with it. On the other hand, if we were to break down below the $60 level that I would anticipate both of these markets are going to follow right along one way or the other, but the best thing you can do at this point in time is to simply sit still and wait for some type of impulsive break out in order to get involved. With this being the case, it is very unlikely that we have clarity until we get a daily close.

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