Crude Oil Price Forecast January 22, 2018, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market fell during the session on Friday, but found a bit of support at the $63 level. That’s not a huge surprise, as you read yesterday I thought that could be an area where the buyers might make a bit of the stand. If we can break down below the lows of the Friday session though, I think the market goes down to the $62 level. Otherwise we could bounce from there and reach towards the $64.25 level. I think we are bit overextended, so it makes sense that we may need to pull back looking for buying opportunities.

Crude Oil Inventories Video 22.01.18

Brent

Brent markets gapped at the open to the downside, clearing an uptrend line, falling significantly, reaching towards the uptrend line again, and then falling again. I think that we will probably break down towards the $60 level, and if we can break down below there, the market should then go down to the $67 level. Ultimately, I think that the market will continue to see volatility, but if we can break above the $69 level, that would be a very bullish sign reaching towards the $70 level. Ultimately, I think if we break down below the $60 level, then the market goes looking towards the $67.50 level next. I think there is going to be a lot of noise in these markets, mainly due to the US dollar bouncing around significantly and of course headline suggesting that perhaps the Russians will leave the OPEC production cut agreement.