Crude Oil Weekly Price Forecast – Crude Oil Markets Continue to Search for Support
WTI Crude Oil
The West Texas Intermediate Crude Oil market has pulled back a bit during the course of the week only to turn around and show signs of stability again, as the market has been all over the place during the last couple of weeks. Keep in mind that the oil markets have been all over the place due to volatility jumping into the market as we try to decide whether or not we are going to see more demand coming out of the world now that the pandemic is waning, or if omicron will destroy the gains that have been made. At this point, if we can break above the $73 level, it looks like we could rally towards the $80 level. On the other hand, if we break the 50 week EMA we could start to drop again.
WTI Oil Video 20.12.21
Brent markets have fallen a bit during the course of the week, after seeing the $76.50 level offer pretty significant resistance. Nonetheless, there is more than likely going to be support all the way down to the $70 level based upon market structure. Again, this is more or less a significant argument between the idea of supply and oversupply. The trend line is still very much intact, and with the 50 week EMA sitting right at the psychologically important $70 level, I think the downside is somewhat limited. However, we would need to take out the $76 level handily in order to get bullish at this point. I suspect that sentence the end of the year, we probably default to choppy sideways action more than anything else.
For a look at all of today’s economic events, check out our economic calendar.