Crude Oil Price Forecast – Crude Oil Markets Continue to Sit Just Below the 200-Day EMA

Crude Oil Prices Forecast Video for 11.04.23

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil market has gone back and forth during the course of the trading session on Monday, as we continue to hang around the 200-Day EMA. The 200-Day EMA is also at the top of an overall consolidation area, which is a reason to think that it might hold. That being said, the market is likely to continue to be very hesitant, due to the fact that we have spent 5 trading sessions after the initial spike higher and just can’t go anywhere.

That being said, there is a huge gap underneath it needs to be filled, and I do think it happened sooner or later. After all, despite the fact that OPEC has cut 1.6 million barrels per day as far as production is concerned, the reality is that global demand might not be there. Regardless, futures traders typically fill these gaps, and it probably helps that the 50-Day EMA is down near the $76 level. That being said, I think this is a situation where we will see buyers in that area as well. I think at this point, we need to pay close attention to whether or not we start to fall below the lows of the last couple of days.

Brent Crude Oil Technical Analysis

Brent markets have gone back and forth during the course of the trading session as well, as it looks like there is a gap over here that needs to be filled as well. The 50-Day EMA sits right around the $81.50 level, but the gap extends closer to the $80 level. Brent of course is not going to be immune from the overall supply and demand questions, so expect a lot of volatility.

That being said, if either one of these markets close above the 200-Day EMA on the daily chart, there’s a good chance that we could continue to go higher. That being said, I don’t necessarily think that this is going to be a clean break, that’s very easy. I would prefer to see the market fill the gap before buying, due to the fact that most traders look at that as a potential opportunity going forward.

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