Crude Oil Weekly Price Forecast – crude oil markets break outThe crude oil markets broke out during the week, showing signs of real strength. Ultimately, this is a market that should continue to find buyers. Now that we have a tightening of supply coming out of Iran, it’s very likely we will continue to see more of the same.
WTI Crude Oil
The WTI Crude Oil market has broken above the $71 level during the week, showing signs of strength. We gapped higher at the beginning of the week on Monday, and simply went sideways with an upward proclivity, showing even more bullish pressure on Friday as we made even higher highs. I think that short-term pullbacks are opportunities to go long, and I have no interest in shorting this market. It looks likely that we will now go looking towards the $75 level, as we have firmly ensconced ourselves into a nice uptrend.
Brent markets or even more bullish than the WTI Crude Oil market as we have sliced through the $80 level. Not only did we slice through that crucial round number, but we have broken above the tops of three consecutive shooting stars, which of course is an extraordinarily bullish sign. I believe that the $85 level above will be a target, just as the $80 level underneath will be massive support now. I’d be looking for pullbacks to get involved to the long side, but with the bullish candle that we have formed for this past week there can be very little doubt as to what the attitude of the market is and where people are looking for it to go, which of course is simply higher.
If we did break down below the $80 level, that would be extraordinarily negative, but even then I think there’s plenty of support at the $75 level underneath.