Crude Oil Price Forecast – WTI and Brent Hold Above 50-Day EMA as Weekend Geopolitical Risks Loom

WTI Crude Oil

The Light Sweet Crude Oil market has rallied ever so slightly in the early hours here on Friday as we are just hanging around trying to figure out where to go next. And that doesn’t surprise me. As we head into the weekend, there will obviously be a lot of questions as to what comes next from the Middle East. I think it’s difficult for traders to feel comfortable putting a huge position on heading into two days of potential headlines.

We are looking more bullish than bearish, though, as we are sitting above the 50-day EMA. But the $88 level seems to be offering a little bit of resistance. After that, you would have the $92 level where we had a swing high. Ultimately, pretty neutral setup currently, as the indecision is high.

Brent Crude

The Brent market looks as if it is hanging around the $94 level. It is a little bit of positivity here heading into a gap from the open on Monday, July 27th. So that gap could cause a little bit of trouble, but we’ll just have to wait and see how that plays out.

Ultimately, this is a market that is moving basically on the latest headlines. The hope of peace will drive the price down. The hope of peace is something that everybody’s hoping for financially, but every time it seems like we’re making some progress, markets get a headline coming out of the Middle East that starts to have people worried about overall supply; prices go up. Unfortunately, we’re still in this regime for the time being, and it doesn’t look likely to change so far.