Crude Oil Price Forecast – crude oil markets fall hard again on Thursday

Crude oil markets fell again during the trading session on Thursday, as the OPEC meeting failed to produce a production cut schedule that was strong enough to push the market to the upside.
Christopher Lewis
Crude Oil daily chart, December 07, 2018

WTI Crude Oil

The WTI Crude Oil market has broken down during the trading session on Thursday again, crashing into the $50 level, an area that of course will cause a lot of interest. I think that if we break down below this level, and let’s face it today is the Nonfarm Payroll Numbers announcement which could make that happen, we will continue to go much lower. At this point, I would anticipate a move to the $45 level, possibly even lower than that. If the jobs number suggests that we are slowing down, that could be rather ugly.

Crude Oil Forecast Video 07.12.18

Brent

Brent markets also look very ugly , as we have broken below the $60 level again. Underneath, I think that if we continue to go lower, we could be kicking off a bearish flag that opens up the possibility of a move to as low as $40. Ultimately, this is a market that I think continues to see a lot of sensitivity to not only OPEC, but US dollar strength. Beyond that, we have a lot of concern when it comes to being oversupplied, which of course is the absolute worst thing that can happen to this market. Rallies at this point are to be treated with suspicion, at least not until we break above the $65 level, which would show significant momentum, and perhaps a complete change in the psychology of this marketplace. Until then, I think that rallies are going to be punished and oil continues to slide although I’m the first to admit that we are a bit oversold in the short term.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US