WTI Crude Oil Weekly Technical Analysis
The crude oil market in the West Texas Intermediate Grade initially pulled back a bit during the trading sessions that made up the week, but the 50 week EMA seems to be offering support. It’s interesting because we are in the middle of one of the most bullish times of year, and therefore we have to keep in mind that there’s a cyclical trade going on as people travel more during this time of year.
Ultimately, if we can break above the $86 level, it could send this market much higher, perhaps to the $90 level, and that wouldn’t surprise me at all. In the meantime, I think every time we pull back, traders will be looking to pick up a little bit of value in this market as we have been forming a very long term bottoming pattern.
Brent Crude Oil Weekly Technical Analysis
Brent, of course, looks very much the same as $85 has offered support. A breakout to the upside here could open up the $90 level, which of course is a large, round, psychologically significant figure. If we pull back from here, the $80 level could be a, significant support level as well.
But all things being equal, this is a market that I think we are trying to form some type of, rounding bottom maybe, but ultimately this is a market that should continue to find plenty of value hunters out there to take advantage of this setup. I have no interest in shorting either grade of crude oil.
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