Crude Oil Price Forecast November 1, 2017, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market went back and forth during the day on Tuesday, using the $54 level as a bit of a magnet. I believe that the market is trying to build up enough momentum to continue to go higher, perhaps reaching towards the $55 level above. The $55 level above continues to be massively resistive, but if we were to break above there the market should then go to the $60 level next. I think that we need to build up enough momentum to finally break out, and it’s likely that we could pull back. The $52.50 level should be a bit of a “floor” in the market, but if we were to break down below there, the market then drops significantly, perhaps reaching down to the $50 handle. The overall attitude of the marketplace should continue to be bullish, but with the recent explosion to the upside, we may need to build momentum.

Oil Forecast Video 01.11.17

Brent

Most of the hedgies I talk to are throwing money at oil. The $60 level underneath in the brand market should be a bit of a “floor”, as we go higher. However, if we were to break down below that level it’s likely we will test the $58.50 level underneath. Overall, I think that we do have some bullishness ahead, but there comes a point where the American start flooding the market. The market breaking to the upside could go to the $62.50 level, which of course has a certain amount of psychological resistance built in. Overall, I believe that short-term pullbacks are buying opportunities, but probably for short-term charts only. The likelihood of volatility continues, so therefore keep your position size smaller, as it keeps the danger in trading this market down a bit.