Crude Oil Weekly Price Forecast – crude oil struggles againCrude oil markets fell significantly during the week, reaching down below the lows of the previous week and beyond. However, there are some signs of support below, so I think this next week or two are going to be very crucial as to where we go next in both grades that we follow here at FX Empire.
WTI Crude Oil
The WTI Crude Oil market fell significantly during the week, touching as low as $67.30. It looks as if the negativity could continue, but as you can see on the chart I have an uptrend line that coincides roughly with the $66 level. If we break down below that uptrend line, $65 will be the next major support level, and clearing that area would be very negative for this market indeed. However, I think at this point we are simply going to retest for support, which means we need to fall in the short term. This week could be a bit negative, but I think that the selling pressure will abate somewhat soon as the US dollar has been a bit overbought recently as well.
Brent markets fell during most of the week, crashing through an uptrend line. However, we have turned around the show signs of life again, so I think if we can break above the $75 level the Brent market could continue to go higher, and perhaps test the $80 level. The alternate scenario is that we go down to the $70 level where I expect to see quite a significant amount of support come into play. This next week or so is going to be crucial as to where this market goes longer term, so you would be forgiven to sit on the sidelines and wait for the weekly candle to print before you put longer term money to work.