Crude Oil Price Forecast – Crude Oil Markets Have Slight Gain To Kickoff Week

WTI Crude Oil

The West Texas Intermediate Crude Oil market has rallied a little bit during the trading session on Monday, breaking above the $60 level. However, I do see a lot of noise between here and $62.50, so although this is a bullish move it is an area that is going to be very difficult to break through. That being said, most of the action this week will be based upon US supplied, which we won’t get for a couple of days. I think at this point it is probably going to make quite a bit of sense to buy pullbacks on short-term charts, but I would not be looking for major movement between now and Thursday.

Crude Oil Video 17.12.19

Brent

Brent markets also are very heavily resisted just above, but also had a little bit of a bullish move during the trading session on Monday as the market has broken above the $65 level. There is significant resistance at the $67.50 level, so at this point it’s likely that the market will continue to have a lot of noise just above, and therefore although it does look bullish at this point, I like the idea of buying pullbacks as the market has a lot of work to do in order to break out. Yes, OPEC has recently made production cuts but at this point we need to see more demand to send this market to the upside with any type of conviction. With this, I like the idea of buying then not selling, but clearly pullbacks are going to be necessary. In fact, there is a gap from the Friday open that needs to be filled so I like the idea of looking closer to the $64.30 level as an excellent entry-level.

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