Crude Oil Price Forecast – Crude Oil Markets Break Down To End Of Week

WTI Crude Oil

The West Texas Intermediate Crude Oil market broke down significantly during the trading session on Friday as we are closing out the May month contract, as we have sliced through $20 rather easily. The June contract which we are rolling into is currently at the $25 level, and at this point it looks like this contract will probably rollover relatively soon, at the first signs of exhaustion. At this point in time, believe that the $30 level offers massive resistance and therefore I will be looking to fade this rally in the June contract relatively soon.

Crude Oil Video 20.04.20

Brent

Brent markets did almost nothing during the trading session as we continue to hang below the $30 level. Keep in mind that the Brent market did not roll over contracts, so you don’t have a lot of the technical buying and selling. Once the Monday session opens up, I fully anticipate that the selling will continue unless of course we see some type of major shock to the system. Ultimately, this is a market that continues to see a lot of exhaustion every time it does rally. I believe that the $35 level will be massive resistance, and therefore it’s not until we break above there that I think there is any type of reason to think that this market could suddenly get very bullish. Signs of exhaustion continue to get sold into and I don’t see this changing anytime soon as the economy is frozen.