Crude Oil Price Forecast – Crude Oil Rallies Again

WTI Crude Oil Technical Analysis

The WTI crude oil market has rallied rather significantly during the course of the early hours on Tuesday as we have now reached the crucial $85 level. $85 is an area that a lot of people will be paying attention to. It does have a significant amount of market memory attached to it, as it was previous support and resistance. That being said, I think the market is a little bit of a stretch, but I think a short-term pullback, more likely than not, will only offer a nice buying opportunity. The $82.50 level is an area where we have seen a lot of resistance previously. All things being equal, this is a market that’s in an uptrend for multiple reasons.

Brent Crude Oil Technical Analysis

The Brent market looks very much the same as well. I think eventually we will go looking to the $90 level, which is an area that will attract a lot of attention. Short-term pullbacks again in this market should be nice buying opportunities that people will, of course, pay close attention to. Ultimately, I think crude oil goes higher due to cyclical trade, because this time of year, typically you see a lot more demand anyway.

Furthermore, you have supply concerns and of course, the Middle East, where it seems like conflict is going to spread out. And if that does happen, it will most certainly have a major impact on what we see in this market. Short-term pullbacks continue to have buying opportunities here as well, and I think this continues to see a lot of noise in the interim, but ultimately we are going to see a lot of buying overall.

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