Crude Oil Price Forecast February 20, 2018, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market drifted lower during the trading session, losing over 1% during the trading session on Tuesday. The previous uptrend line is now offering resistance, especially near the $64 level. I think that there is significant resistance extending to the $65 level, so I don’t have any interest in trying to go long, least not until we break above that level. Ultimately, I believe that the market rolling over the way it has during the session on Tuesday, the market will probably continue to find sellers. I believe that the crude oil oversupply will continue to be an issue, and I think that given enough time we will go looking towards the $60 level.

Brent

Brent markets went sideways initially during the trading session as well, as $67.50 has a certain amount of resistance built in, not only due to structural situations, but the previous uptrend line as well. I think if we break down below the 6650 handle, the market should then go down to the $65 level next. Ultimately, I believe that level will be supportive, but I also believe that we could break down below there as I think that the highs for the year have already been put in. Expect a bit of noise, but I do believe that every time we rally on the short-term chart it will attract sellers as the US dollar has rallied a bit over the last 24 hours, while the supply of oil continues to be an issue.

Oil Forecast Video 28.02.18