Crude Oil Price Forecast – Crude Oil Markets Break Out

WTI Crude Oil

The West Texas Intermediate Crude Oil market has rallied a bit during the trading session on Wednesday to reach above the $56 level. This is obviously a very bullish run, and it looks as if the market is ready to continue going higher. In fact, I believe that the next move is towards the $60 level, with a stop at the $57.50 level. After all, we have just cleared the major $55 handle, so I think a lot of people will stand up and take notice. With this, buy on pullbacks continues to be the way going forward because we have broken out of wet has been so resistive. Whether or not oil can hang on to the longer-term gains is a completely different question, but for the short term it looks like the momentum chasers are on full tilt.

Crude Oil Video 04.02.21

Brent

Brent markets have rallied during the trading session on Wednesday to reach towards the $59 level. By doing so, the market looks like it is going to try to determine whether it can get to the $60 level over the next day or so. I do think that we eventually hit the $60 level where I would anticipate a lot of selling. The move is rather impressive, but the question now is whether or not we can continue the momentum? I do not think that is the case beyond $60 in the short term, and sooner or later we are going to have to react to the reality that demand is still very weak historically. In the short term though, momentum chasers have also taken over in this market.

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