Crude Oil Weekly Price Forecast – Crude markets break out

WTI Crude Oil

The WTI Crude Oil market broke higher during the week, clearing the little bit of resistance that we have been involved with for the last several weeks. At this point, pullbacks still are to be bought, as we find plenty of buyers underneath. The market has been extraordinarily resilient and should continue to be so. At this point, buying dips on short-term charts will continue to be the play going forward, as there is no reason to think that anything is going to change in the short term. Ultimately, I think that the market will go looking towards the $60 level, which of course will cause significant interest.

WTI Video 18.03.19

Brent

Brent markets also have rallied a bit but gave back some of the gains to form a bit of the wick to the upside. Longer-term, this is a market that could go as high as $70 initially, but I think we will probably see the occasional pullback that offers support at the $65 handle. I have no interest whatsoever in shorting this market, just as I don’t the WTI market as they tend to move in the same direction. However, if we broke down below last week’s candle, then things could drop down to the $62.50 level.

A falling US dollar could help the situation as well, and as the Saudi cuts continue to grip the market, I think overall we have a constructive outlook for crude oil as not only do all those things coming together, but we also have Chinese stimulus that will push demand on the mainland as well.

Please let us know what you think in the comments below