Crude Oil Price Forecast December 18, 2017, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market went sideways during the trading session on Friday, as the 57.50 level has offered resistance. I believe that the market should continue to be noisy in general, as there are a lot of concerns when it comes to both supply and demand. The recent cutbacks by OPEC continue to be a bullish factor, but I think that it’s only a matter of time before rallies get crushed by the fact that Americans will flood the market with supply. Because of this, I think you can only play short-term positions. Currently, I believe a break above the $57.55 level is a short-term buying opportunity to the $58.25 level. If we roll over from here and breakdown below the $57 level, we could go looking towards the $56.25 level.

Crude Oil Inventories Video 18.12.17

Brent

Brent markets have gone sideways during the session as well, and I think that a break above the $64 level is a nice buying opportunity that should send this market to the $65 handle. Alternately, if we break down below the $63 level, we probably go looking towards the $62 handle. In general, I think that this market is very much like the WTI market, one that cannot be traded for any length of time that goes beyond a short-term trade. The marketplace continues to be very difficult to deal with, but I think if you keep your position size small, and of course can stay nimble enough, you could find yourself profiting. Overall, I think long-term trading is all but impossible, as there is far too much in the way of competing factors in the marketplace to allow for the free flow of momentum to offer up a longer-term trade. I think volatility and choppiness will be a theme for a while.