Crude Oil Price Forecast November 16, 2017, Technical Analysis

WTI Crude Oil

The WTI Crude Oil market has gone sideways during most of the trading session on Wednesday, using the $55 level as support. This is a large, round, psychologically significant number that not only offers psychological support, but structural support as well. So, the fact that we have bounced is not a huge surprise, and I believe that the market is going to continue to go higher. The $56.50 level above should offer resistance, and therefore I think it’s going to be difficult to break above there, but I do think that we may test it. Alternately, if we were to break down below the $54.25 level, I would be a seller and reaching down towards the $53 level. In general, I think that the market continues to be very choppy, so small position trading will probably be the best way to approach oil.

Crude Oil Price Forecast Video 16.11.17

Brent

The Brent market has also been very sideways during most of the session, with the subtle turn to the upside later Wednesday. I think that the $62.30 level being broken to the upside should send this market towards the $63.30 level above. Alternately, if we break down below the $61.10 level, we could drop down to $60, which makes a lot of sense from a longer-term standpoint. I believe that Brent will continue to be choppy as well, so small position sizing will be necessary trading crude oil of any grade. There are a lot of things moving back and forth, and of course concerns about Saudi Arabia, Iran, and of course oversupply being major problems. The US dollar of course has its own influence on the market, so as it’s been following it helps the value of the oil markets. In general, I believe that you will find that this market continues to be choppy, so be careful.