Crude Oil Weekly Price Forecast – Crude Oil Gets Crushed at The End of The Week

WTI Crude Oil

The West Texas Intermediate Crude Oil market has gotten crushed during the Friday session to end up rather soft for the week. We are back below the $70 level, which is probably not overly surprising considering that interest rate shot much higher, driving up the value of the greenback. Ultimately though, we will have to look at the demand equation, and right now it still looks like it favors higher pricing. With that being the case, the market is likely to find buyers but if we were to break down below the hammer from two weeks previous, that could be a very ugly look for this market. Pay close attention to that candlestick.

WTI Oil Video 09.08.21

Brent

Brent markets got hammered as well, reaching all the way down to the $70 level before stabilizing just a bit. That is obviously an area that would be worth paying close attention to, especially as it is a large, round, psychologically significant number, has offered resistance on an ascending triangle previously, and then has also held once before.

All things been equal, this is a market that I think continues to see plenty of buying opportunities on dips, but if we were to break down below the hammer from two weeks previous, that would also be very negative for this market, so the next couple of weeks are going to be very interesting for the crude oil complex altogether. Will we see demand pick up and drive prices higher, or do we see the bottom falls out? Pay close attention to that candlestick, and of course keep your position sizing reasonable.

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