Crude Oil Weekly Price Forecast – Crude Oil Continues to Struggle

WTI Crude Oil

The West Texas Intermediate Crude Oil market has gone back and forth during the course of the week, showing signs of exhaustion. The $62.50 level seems to be a bit of a magnet for price, so with that being said it does make quite a bit of sense that is the middle of the candlestick that we had just formed. All things being equal, the $60 level underneath should continue to be somewhat supportive, but I think that is more of a range of support and therefore it is not until we break down below the last couple of candlesticks that I would be a seller. At that point, I would anticipate a move to the $53 region. On the other hand, if we break above the candlestick that just four for this week, we should then go looking towards the highs again.

WTI Oil Video 26.04.21

Brent

Brent markets of course have done much the same, as it looks like we are trying to figure out whether or not demand is going to pick up. The idea of the reopening trade of course was the main driver going forward, but at this point it is a question as to whether or not the reopening trade is even going to have the momentum once thought, as we are starting to see coronavirus figures pickup in Asia. Demand for crude oil could continue to drop, and quite frankly has been a little bit disappointing as of late. If the US dollar rallies as well, that could also be another reason for crude oil to pullback. On the other hand, if we get the “all clear” when it comes to risk appetite then we will test the highs again.

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