Crude Oil Price Forecast – Crude Oil Markets Continue to Face Same Problems

WTI Crude Oil

The WTI Crude Oil market has rallied after initially gapping higher during the trading session on Wednesday. We rallied towards the top of the gap again, only to pull back a bit. The 200 day EMA sits just above there as well, so that of course causes a lot of problems. If we see some type of exhaustion in that general vicinity, it is likely that the market will probably rollover again and grind back into the gap. To the downside, the 50 day EMA underneath will continue to be a massive support level, so keep in mind that we will see buyers in that general vicinity. Right now, crude oil just simply seems to be willing to sit still.

Crude Oil Video 16.07.20

Brent

Brent markets of course did the same thing, but still have not been able to capitalize on any type of momentum. At this point, the 200 day EMA is at the top of the gap, so I think we are going to go looking towards that area but quite frankly we just do not have the catalyst quite yet. If the WTI Crude Oil market can break out a bit, that will help this market as it will drag it right along with it. That being said, I still believe that the 50 day EMA underneath offers plenty of support, so I think there will be buyers down there willing to take advantage of “cheap crude.” All things being equal, we are between two of the biggest moving averages that traders follow, so it should not be a huge surprise that we cannot go anywhere.

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