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Crude Oil Weekly Price Forecast – crude oil markets breaking out?

By:
Christopher Lewis
Updated: Feb 15, 2019, 18:54 UTC

Crude oil markets rallied significantly during the trading session on Friday to send this market above what has been massive resistance. Because of this, I think that the market is poised to go higher as we have been flirting with that level for quite some time.

Crude Oil weekly chart, February 18, 2019

WTI Crude Oil

The WTI Crude Oil market rallied significantly during the week, but especially on Friday to break above the $55 level. As I record this, we are above the $56 level, and that means that it’s very likely we will continue to see buyers jump into this market. This has been an argument that I’ve been trying to make for some time, that the break out was coming. However, we are now looking very likely to see a lot of volatility. Overall, I think that the markets are going to be very noisy but it looks like the Saudi decision to cut back should continue to push this market higher.

WTI Video 18.02.19

Brent

Brent markets also broke out as well, looking towards the $65 level in breaking above there. The market looks likely to continue to go higher though, so I look at short-term pullbacks as buying opportunities in a market that should continue to show strength. Overall, I think that we could probably go towards the $70 handle, and at this point the $60 level underneath should be supported. Looking at the daily chart, we can make an argument for an inverted head and shoulders, so that should send this market to the upside. Looking at this chart, I think that the move could be rather explosive but obviously there are geopolitical concerns out there that could drive oil back down such as growth.

Please let us know what you think in the comments below

 

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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