Crude Oil Price Forecast – Crude Oil Continues to Build a Base

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market has ended up forming a little bit of a bottoming pattern during the last several sessions, but ultimately it looks like the $71 level is an area that is massive support. If we can rally from here, I think we could go look into the $75 area, an area that also should be a major options barrier. So, we’ll see if we can get above there, but there are a lot of questions asked about crude oil in general, not the least of which would be demand, is there going to be enough demand? So, I think WTI might be in the process of just trying to form some type of bottoming.

Brent Crude Oil Technical Analysis

The Brent market looks very much the same. And of course, they have to worry about the idea of demand over here as well. But we also have geopolitical concerns around the world that continue to throw the oil markets into disarray. With that being said, I think you’ve got a situation where the market will eventually rally, but whether or not it’ll break out to the upside remains.

The $80 level above would obviously be a major barrier. And then after that, you would probably have the $82 level. I think at this point, as long as we can stay above the $75 level, the Brent market will be at least somewhat viable on dips, but I think it would be on short-term trades only. For a longer-term trade, it’s a little less clear.

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