Crude Oil Price Forecast July 7, 2017, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market initially fell during the day on Thursday, but found enough support at the $45 level to turn around. This was exacerbated by a massive drop and crude oil inventories in America, which of course is very bearish. Now that the market has rallied a bit, I believe that we are setting up to make a massive move after the jobs number. I believe in the bearish story overall, and even though we have rallied I believe that the sellers will return. If we can break down below the $45 level, the market should then go down to the $42.50 level. Ultimately, the oversupply issues and oil will continue, although we have seen a short-term bullish number printed that could have an effect on the market. Pay attention to the US dollar, if it starts to strengthen, that will drive down the value of a barrel of oil as well.

Crude Oil Forecast Video 07.7.17

Brent

Brent markets also rallied, but found enough resistance near the $49 level to turn things around. I believe that this market will rollover given half a chance, but I also recognize that the drawdown in inventory causes some doubt. The $50 level above is massively resistive, so it’s not until we get above the $50 level that I think we have made a significant move. After all, we have recently broken down through what could have been an uptrend line, so I think that the market then will go looking towards the $47. If we can break down below there, the market should then go to the $45 level. Either way, I think that given enough time we will find sellers get into this market. I don’t have any interest in buying crude oil.