Crude Oil Weekly Price Forecast – Crude Oil Markets Look SupportedCrude oil markets have pulled back a bit during the week, only to find buyers on the dips. I think that we are getting close to an inflection point.
WTI Crude Oil
The West Texas Intermediate Crude Oil market broke down a bit during the course of the week but found enough support underneath the turn around and show signs of life at the end. Ultimately, we are pressuring the $50 level above, so it will be interesting to see whether or not we can break above there. If we do, then we could get another couple of dollars’ worth of upside from here. To the downside, I believe that the $44 level is your support level. As far as a longer-term trade is concerned, I think that we may have a little further to go to the upside before showing signs of weakness and then rolling over again. The target is not quite clear yet, but one thing is for sure – demand is a major problem.
WTI Oil Video 28.12.20
Brent markets fell during the course of the week, reaching down towards the $50 level, before turning around and showing signs of life. That being said, I think that the market probably has further to go to the upside, reaching towards the 200 week EMA at the $56.25 handle. I think at this point, we see a lot of noise in general, and at this point it does look like the buyers are willing to jump in and take advantage of value when it occurs. Keep in mind that the US dollar falling will help, as the crude oil markets are priced in those US dollars. That being said, the market is likely to see choppy volatility, but I think we have another leg higher ahead of us.
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