Crude Oil Price Forecast – Crude Oil Markets Sluggish

WTI Crude Oil

The West Texas Intermediate Crude Oil market continues to hang around the $64 level, and as a result it is likely that we will eventually go looking towards the trendline that I have drawn on the chart. I do not necessarily believe that we are going to break down significantly, at least not yet but we do have to start to pay attention to the fact that we are getting a bit stretched. I still believe that we are probably going to go looking towards the $70 level given enough time, but if we were to turn around a break down below the $60 level, that could turn be bearish. In the meantime, I would expect to see a lot of choppy sideways action.

Crude Oil Video 18.03.21

Brent

Brent markets of course look very much the same, as the $70 level has offered a certain amount of resistance just above. That being said, the market is likely to continue to see the $70 level as an area of resistance, and I think at this point we may be trying to build up enough momentum to finally break above there. I am not interested in shorting Brent anytime soon, but I do recognize if we were to break down below the $65 level, it could kick off a more corrective phase. All things been equal, you are probably looking for short-term dips that you can buy into, but I do not think that we are going to see anything major in the short term, as we are struggling to bit more at these higher levels than we had been over the last couple of months on that parabolic move to this region.

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