Crude Oil Price Forecast – Crude Oil Markets Pull Back
WTI Crude Oil
The West Texas Intermediate Crude Oil market has fallen rather hard during the trading session on Monday to break down a bit and suggest that we may be getting “a little toppy.” With that being said, I do think the market has plenty of support underneath, especially near the $70 level and the 50 day EMA as well. All things being equal, this is a market that I think probably offers a bit of value in the short term before traders come back in and try to pick things up. With the PMI figures in China being just above expansion, and shrinking, it is likely that the market will continue to worry about whether or not the demand will continue.
Crude Oil Video 03.08.21
Brent markets have pulled back significantly during the course of the trading session as well, as we are likely to go looking towards the 50 day EMA underneath. With that being said, the market will continue to be very noisy, and I do think that there are plenty of buyers underneath at my get involved. The $70 level underneath would be significant support more likely than not, and as a result I think we continue to consolidate and go sideways more than anything else. On the other hand, if we can break out to a fresh, new high it is likely that the market will go looking towards the $80 level. I am looking for an opportunity to pick up value, but it may need to wait a couple of days as the market continues to be very volatile.
For a look at all of today’s economic events, check out our economic calendar.