Crude Oil Price Forecast – crude oil markets continue to fallCrude oil markets gapped lower to kick off the trading session on Tuesday, as we continue to see even more selling. At this point, the sellers have overwhelm the buyers yet again.
WTI Crude Oil
The WTI Crude Oil markets gapped lower to kick off the session on Tuesday, breaking through the $50 handle. By doing so, we opened up the floodgates, but we have had a nice bounce back towards the $49 level so far. I still think that the $50 level will now offer resistance, and I think that we will continue to go lower, perhaps reaching the $47.50 level, perhaps even the $45 handle. Rallies at this point are not to be trusted, because quite frankly crude oil markets can’t get out of their own way. There are concerns about global growth, and that of course is going to work against crude.
Oil Forecast Video 19.12.18
Obviously, Brent markets have fallen as well, gapping to kick off the day and reaching a fresh, new low. However, we have bounced a bit but I think we are looking at selling yet again, as the downtrend line should come back into play. If we break down below the bottom of the candle stick for the day, then we go even lower than that. I don’t have any interest in buying Brent, at least not until we break above the $62 handle, but even then it’s going to be very difficult. Overall, the WTI Crude Oil market has more exposure to the United States, which is where I would want to be if there was suddenly a bet on global growth returning. Ultimately, I believe that this market will continue to see a lot of negative pressure, albeit in a choppy type of manner.
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