Crude Oil Weekly Price Forecast – Crude Oil Markets Pressing Resistance

WTI Crude Oil

The West Texas Intermediate Crude Oil market initially pulled back during the week but then slammed into the $60 level. The $60 level extends resistance all the way to the $62.50 level. Having said that though, it’s likely that we will continue to see buyers on dips as it seems very resilient to the upside. On the other hand, if we were to break down below the bottom of the weekly range, then it’s likely that we could continue to fall a bit, perhaps even as low as the $52.50 level. That being said, OPEC has recently cut production so there is still more of a bias to the upside.

Brent

Brent markets initially pulled back during the week but turned around to crack towards the $65 level. There is a significant amount of resistance that extends to the $62.50 level, so it’s going to take a significant amount of work to get above there. I believe that pullbacks are probably coming but those will be short-term lived to say the least. If we can break above the $67.50 level, then the market opens up a potential move to the $70 handle. Alternately, if we break down below the bottom of the range for the week, then we could go looking towards the $60 level underneath which is significant. At this point, it looks as if the market is trying to break out but obviously there is a lot of work to do in order to get above this barrier.

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