Crude Oil Weekly Forecast – Crude Oil Markets Find Support

WTI Crude Oil

The West Texas Intermediate Crude Oil market has dropped during the week to test the uptrend line that the market has been following over the last few months. The candlestick was a bit of a hammer, but the most important thing to pay attention to is the $67.50 level, as it would represent a solid break out if we can clear it. Above there, the market likely goes looking towards the $70 level at the least, and with the massive reopening, the demand will most likely be there.

The one wildcard is the Iranians, and what them being able to reenter the markets could mean for supply. Also, the US dollar will have its part to play, as a falling greenback would be another boost to the market.

WTI Oil Video 24.05.21

Brent

Brent markets continue to look at the uptrend line of the ascending triangle. As it has offered support again, the market looks likely to go looking towards the $70 level, an area that would be important from a structural and psychological point of view. The measured move suggests that on the breakout we could be looking at a $80 target.

Alternately, if we were to break below the uptrend line, then I think that the market could go looking towards the $60 level, where we could run into the 50 and 200 week moving averages. The moving averages are about to cross as well, and this is also a positive sign. The market only becomes bearish under $60. Because of this, I look at dips as potential buying opportunities. At this point, it looks like we are going higher.

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