Crude Oil Price Forecast – Crude Oil Markets Look Soft

WTI Crude Oil

The WTI Crude Oil market has tried to rally during the trading session on Tuesday but gave back quite a bit of the gains near the $30 level as it looks like the United States is going to be demanding a lot less of it. If that’s going to be the case, then obviously oil will drop. With Saudi Arabia dumping more on the market, it is going to be very difficult to keep enough of the gains to continue going higher. The reality is that it’s going to take something significant to make that happen. At this point, rallies are still to be sold.

Crude Oil Video 18.03.20

Brent

Brent markets rallied a bit during the trading session on Tuesday but are at very depressed levels. The $30 level looks as if it is trying offer a little bit of support, but quite frankly I think we are still in a situation where you would be looking to fade rallies as the Saudi Arabia and dump of crude oil on the market has certainly had a major impact. Furthermore, huge parts of the global economy are coming to a standstill, so the demand for crude oil is going to be very marginal at best. With a lack of demand and the Russians and Saudi governments flooding the markets, it’s difficult to imagine that you should be a buyer of this market, even though there is a gap above that still needs to be filled. Fading signs of exhaustion makes quite a bit of sense.