Crude Oil Price Forecast – oil markets kick off the week bullish

WTI Crude Oil

The WTI Crude Oil market rallied and gapped to kick off the week, but then gave back some of the gains. We are starting to see problems with global demand, and if the global economy is in fact starting to slow down a bit, it’s likely that crude oil will continue to struggle. However, with OPEC talking about a potential cutback in production, that could very well be the lift for crude oil that the market needs. If we can break above the $55 level, we could then go to $57.50, then possibly the $60 level. However, if we rollover make a fresh, new low then we could very well go to the $45 handle.

Crude Oil Video 04.12.18

Brent

Brent markets rallied significantly during the trading session on Monday, using the $60 level as support. This market looks very likely to find some resistance above, near the $65 level. The $60 level underneath offer significant support, but I think we make a fresh, new low then Brent would probably unwind to the $55 level, possibly even the $50 level. This market has been oversold for some time, so if we can get some type of rally from here it could be rather strong based upon bullish fundamentals coming out of the OPEC meeting. The US dollar falling could also help, but I think that you are probably going to have an easier time fading rallies on short-term charts more than anything else right now.