Crude Oil Price Forecast – Crude Oil Markets Stable On FridayCrude oil markets stabilize a bit during the day on Friday, which of course is a good sign considering that we had pulled back so drastically. That being said, it looks like the 200 day EMA continues to offer support.
WTI Crude Oil
The WTI Crude Oil market did very little during the trading session on Friday, which of course is a very good sign, considering that the market has bounced from the 200 day EMA. We currently see the 50 day EMA as resistance, but I think if we can break above there the market is likely to go looking towards the $60 level, and then eventually break above there to go towards the $62.50 level. Alternately, if we were to break down below the hammer from the Wednesday session, the market will probably go looking towards the $55 level underneath which was massive support.
WTI Oil Video 20.01.20
Brent markets also have found the 200 day EMA to be supportive. However, it is above the 50 day EMA as well, so the question here is whether or not it is leading the WTI market? If we can break above the highs from the trading session on Friday, I think the market will continue to try to reach towards the $67.50 level. At this point, the market is likely to continue to run into a bit of trouble at the top though, because after all there is a bit of a demand issue. Nonetheless though, it does look like we are getting ready to get a bit of a relief rally so there’s no need to fight that. If we break down below the one second of though, it probably sends the market down to the $62.50 level, perhaps even the $60 level.
Please let us know what you think in the comments below