Crude Oil Price Forecast – Crude Oil Markets Pull Back Slightly
WTI Crude Oil
The West Texas Intermediate Crude Oil market initially tried to rally during the trading session on Wednesday, but it looks as if the $80 level has been a bit too much to overcome. Because of this, we have pulled back towards the $77.50 level, but quite frankly this is something that we needed to do to begin with. After all, this is a market that had been a bit overdone, and I think it makes quite a bit of sense where we would see support underneath near the $75 level.
I think a pullback is going to be a nice opportunity, with the fact that all of the factors are still out there, so this will offer a “buy on the dip” opportunity. The $75 level would be a great place to get involved, assuming that we even get that opportunity.
Crude Oil Video 07.10.21
Brent markets also have initially tried to rally during the trading session on Wednesday but gave back gains to show signs of exhaustion. At this point, I think there is a lot of support at the $80 level, and then down to the $77.50 level. The uptrend line of course will attract a lot of attention, so I think it is only a matter of time before the buyers get involved and take advantage of a little bit of value. Quite frankly, with the lack of energy in the European Union, it is probably only a matter of time before hedge funds pick this market up yet again and drive it to the upside. A break above the highs of the last couple of days also signals that more momentum has entered the market.
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