Crude Oil Price Forecast – crude oil markets get hammered again

WTI Crude Oil

The WTI Crude Oil market initially tried to rally on Monday, but then fell hard and back towards the $55 level as Russia has decided to delay a decision on production cuts. This of course is negative for the crude oil market, as an oversupply situation should continue. If that’s the case, we could very well break down below the $55 level. That’s an area that should be massive support, and if we did break down below that level, that is very likely that the market goes looking towards the $52.50 level, and that eventually the psychologically and structurally important $50 level.

Crude Oil Video 20.11.18

Brent

Brent markets also tried to rally initially but found too much trouble at the $67.50 level to continue. We rolled over and it looks as if we are going to go looking towards the $65 level. That is an area that has been supported more than once, and if we break down below that level it’s likely that the market will probably go looking towards the $62.50 level, and then eventually the $60 level. As far as buying is concerned, I am a bit hesitant to do so, at least not until we break above the Friday shooting star, something that doesn’t look very likely to happen, at least at the moment. Overall, the market does look very vulnerable though, so I think that the sellers will probably continue to become very aggressive in this market. This will be especially true if the US dollar starts to pick up strength again.