Crude Oil Weekly Price Forecast – oil markets sell off drastically during the week

WTI Crude Oil

The WTI Crude Oil market initially tried to rally during the week but found enough resistance near the $71 level, an area that has caused problems in the past, to turn around and break down significantly. At this point, we are about halfway through the triangle, which of course is an ascending triangle so that is a bullish sign. It also means that if we broke through the uptrend line, it would be a very negative sign. Of course, the opposite would be true if we break above the highs, which could send the market towards the $80 level or so.

Brent

Brent markets are in a consolidated pattern, with the $70 level underneath offering support, as well as the uptrend line. The $80 level above has been resistance, and if we can break above that level the measure to move should send this market looking for $90. We should see a pullback from here based upon the shooting star though, so I think value hunters will simply wait on the sidelines for a couple of days and then perhaps go into this market to the upside. If we were to break down through the uptrend line, we will most certainly test the $70 level underneath, and a break below that level will send the market down to the $65 level. In general, I am bullish but I recognize that in the short term we may need a bit of a correction.

WTI Video 10.09.18