Crude Oil Price Forecast – Crude Oil Markets Continue to See Upward Momentum

WTI Crude Oil

The West Texas Intermediate Crude Oil market has rallied a bit during the course of the trading session on Monday to show signs of strength. All things been equal though, it looks as if the $85 level is going to continue to cause a little bit of psychological resistance, but I think the keyword here of course is going to be “psychological.” The markets have been very bullish for quite some time, but I think the $81 level now is starting to offer a bit of support. At this point in time, crude oil continues to be strong, basing its price upon the fact that we had not had very strong production during the lockdown and of course there is the entire “reopening trade” that is still going on.

Crude Oil Video 26.10.21

Brent

Brent markets have also rallied to break out to a fresh, new high, showing that we are ready to go towards the $87.50 level, possibly even the $90 level. Again, this is a market that is extraordinarily volatile but more importantly extraordinarily strong. With that in mind, I have no interest whatsoever in trying to short this market, because quite frankly I think it is probably only a matter of time before we see a continuation of the massive move. The $90 level is very likely to be targeted, but it may take a while before we get there. Any dip at this point in time, I believe that the $83.50 level is your short-term floor. If the US dollar starts to rollover a bit, that might also add a little bit of strength to this market.

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