Crude Oil Price Forecast – crude oil markets showing signs of support via Russia

WTI Crude Oil

The WTI Crude Oil market initially broke down below the $50 level during trading on Thursday but has turned around to form a bit of a supportive looking candle, perhaps something akin to a bit of a hammer. The $50 level will of course attract a lot of attention anyway, so it makes sense that we could perhaps see the market rally a bit from here, because quite frankly we are oversold. However, if we can close on the daily chart below the $50 level, that could open up much lower pricing with $47.50 being the initial target.

Crude Oil Forecast Video 30.11.18

Brent

Brent markets also fell during the day but turned around of form a bit of a hammer as we said just below the $60 level at the time of writing. The downtrend line above was previously the supportive line, and now I think that signs of exhaustion between here and there should be selling opportunities. However, if we break above the top of that line, then I think the market probably goes towards the $67.50 level, and then perhaps the $70 level after that. If we do break down below the candle stick for the Thursday session, then I think it opens up Brent to the $55 handle below. That being said, this is a market that I think is oversold so a bounce would make a lot of sense. I’d be a bit cautious about hanging onto a long position for large gains at this point.