Crude Oil Price Forecast – crude oil markets settle in at high levels

WTI Crude Oil

The WTI Crude Oil market was slightly negative during the early hours of the trading session on Tuesday, as we continue to dance around the $75 level. That of course has a certain amount of psychological support built into it, but perhaps we have gotten ahead of ourselves. If the oil markets pull back, I anticipate that there will be a lot of buyers down near the $74 level, an area that was previously resistive and has yet to be retested. It has been a very volatile session, so keep in mind that the normal choppiness continues.

Brent

Brent markets also when sideways initially during the day with a slightly negative bias as we continue to struggle with the idea of breaking above the $85 handle. By doing so, I think this shows that the market certainly has a natural upward proclivity, but I think we are simply digesting the gains from the last couple of sessions. If we can break to a fresh, new high, then I think the Brent market goes looking towards the $90 level next which is the next psychological barrier. There are a lot of pundits out there looking for $100 barrel pricing, and quite frankly there’s nothing on this chart to suggest it can’t happen. $83 is essentially the “floor” right now, so it’s not until we break down below there that I consider selling this contract. Buying on dips to pick up a little bit of value makes a lot of sense.

Oil Forecast Video 03.10.18