Crude Oil Price Forecast – crude oil markets find support on Wednesday

Crude oil markets pulled back yet again during the day on Wednesday, but as we have seen more than once, the buyers have come in to pick this market up. We are in the middle of a major fight, and I think that we will eventually get a very clear signal on the longer-term move.
Christopher Lewis
Crude Oil daily chart, February 07, 2019

WTI Crude Oil

The WTI Crude Oil market pulled back a bit during the trading session on Wednesday, touching the 20 day EMA before turning around to form a bit of a hammer during the American session. This signifies to me that there are still plenty of buyers willing to jump into this market, trying to lift it towards the highs again. If we can break to a fresh, new high, the market can then go towards the 200 day EMA above. When you look at this chart, you can see that we have formed a bit of an inverted head and shoulders, but we haven’t broken above the neckline yet.

Crude Oil Price Forecast Video 07.02.19


Brent markets bounced even harder during the trading session, and again off of the 200 day EMA. This is an extraordinarily important signal, and it looks as if we are ready to break out to the upside. The neckline from the inverse head and shoulders is of course being threatened, and if we can break above it I think that this market could go to the $65 level initially, and then eventually the $67.50 level which is the 200 day EMA. Overall, there are a lot of concerns when it comes to the global economy, and whether or not there is going to be enough demand out there to keep the pricing elevated. However, if we were to turn on a break below the $60 level that would be a very negative sign.

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