Crude Oil Price Forecast – Crude Oil Markets Rally on Rumors

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil market has rallied during the trading session on Tuesday as we continue to see a lot of volatility. We are still essentially in the same descending channel that we have been in, but there is a rumor going around that the OPEC members are going to cut production, which is very bullish as it will cut down supply. If that’s going to be the case, then it’s likely that we will see prices try to rise. Ultimately, we have to decide whether or not we are at the bottom, but I don’t think it is going to be the absolute bottom, and certainly volatility will pick up.

Brent Crude Oil Technical Analysis

Brent market have also rallied during the trading session on Tuesday to break above the $91 level, so it looks as if we are going to continue to see a lot of volatility, and at this point in time we will have to pay close attention to the 50-Day EMA which is at the $93.55 level, and at the first signs of exhaustion near that indicator, I would go ahead and start shorting due to the fact that global demand is going to continue to be a major issue.

The $90 level underneath should be supported, and if we were to break down below there, it’s likely that the market would continue to see quite a bit of selling pressure. Remember, this is all movement on a rumor and we don’t know exactly what OPEC is going to do, so it certainly a situation where you could see a lot of disappointment rather quickly if things turn around.

Crude Oil Prices Forecast Video for 05.10.22

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