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Crude Oil Weekly Forecast – Crude Oil Markets Continue to See Bullish Pressures

By:
Christopher Lewis
Published: Apr 12, 2024, 16:02 GMT+00:00

The crude oil markets continue to see a lot of upward pressure as there are a lot of factors out there to send oil higher overall.

In this article:

WTI Crude Oil Weekly Technical Analysis

The West Texas Intermediate crude oil market has rallied again during the week after testing the $85 level. This is a market that I think eventually continues to go higher, perhaps reaching towards the $90 level, maybe even as high as $95 over the course of the summer.

We have had a very strong start to the year, and I think that continues to be the case going forward for a multitude of reasons. Either way, the technical analysis is very strong in this market, and the $80 level underneath, I think, is the flaw in the market. Short term pullbacks continue to get bought into. And really at the end of the day, that’s the most important thing that you’ll see in this chart.

Brent Crude Oil Weekly Technical Analysis

Brent looks very much the same. We’re above $90. We did break down through it at one point during the week, but then turned around to show signs of life. If we can break above the $95 level, then the market could go looking to the $100 level. Short term pullbacks continue to get bought into over here as well. Keep in mind that there are a lot of geopolitical concerns in the Middle East, and that could influence the supply.

Furthermore, the supply isn’t really that great at the moment. So short term pullbacks I think get bought into for that reason alone. Central banks around the world are likely to start cutting rates sometime later this year. And that could drive up demand. And we also have cyclical trade where everybody starts to travel globally. So that also tends to drive up the price of oil this time of year. I have no interest in shorting, and I think that every dip ends up being a buying opportunity sooner or later.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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