Crude Oil Price Forecast – crude oil markets continue to grind higher

WTI Crude Oil

The WTI Crude Oil market has broken above the $55 level, an area that has caused quite a bit of resistance as of late. That being the case, it is a very likely that we continue to go higher based upon this breakout. However, I don’t necessarily think that is going to be the easiest thing to hold onto as it should be very choppy. We have the jobs number coming out on Friday, and that of course could have a major influence on the greenback as well as the idea of demand when it comes to crude oil.

Crude Oil Forecast Video 01.02.19

Brent

Brent markets have not broken out quite yet, as the $64 level offer significant resistance. I think at this point though; the Brent market could very likely follow WTI given enough time. If we pull back from here, I think there is support at the 20 day EMA but given enough time it’s likely that the bullish pressure should overwhelm and we should break out. I believe that the greenback falling is part of the reason that we are going higher, but also I think that the idea of potential demand increasing of course helps. The jobs number being strong should send this market higher as well, although we may get short-term pullbacks to offer a bit of value. Looking them as such and breaking down below the $60 level seems very unlikely at this point. In fact, there is an inverse head and shoulder pattern on both grades of oil we follow here at FX Empire.