Crude Oil Price Forecast – Crude oil markets power higher for yet another session

WTI Crude Oil

The WTI Crude Oil market rallied yet again during the trading session on Monday, as we continue to see buyers jump back into this market. We have recently formed a bullish flag, and now we have broken above it. Overall, it looks as if the market is going to go to the $65 handle. That’s a level that was previous support, so it does make sense that it would be resistance, besides that you also have to worry about the fact that it is a large, round, psychologically significant figure. At this point, if we can break above the $65 level, then the market can really take off. I would expect $65 offer a bit of selling pressure though. In general, short-term pullbacks are buying opportunities.

Crude Oil Video 09.04.19

Brent

Brent also rallied during the day, breaking above the $70 handle, which of course is a nice significant move. We are getting close to forming a “golden cross”, which is a longer-term bullish signal, and at this point it looks like we will probably continue to find buyers on dips as we have been for quite some time. The $69 level underneath is a massive demand zone, and of course the 200 day EMA is as well. To the upside, the $75 level will course offer a lot of resistance, but I think between now and then that the $72.50 level will be the initial barrier to overcome. I like buying dips, and have no interest in shorting.

Please let us know what you think in the comments below