Crude Oil Price Forecast – Crude Oil Continues to Hang About in a Range

Crude Oil Prices Forecast Video for 12-01-2024

WTI Crude Oil Technical Analysis

You can see that the WTI crude oil, the West Texas Intermediate Crude Oil Market, has rallied a bit early during the trading session, but we are still kind of just hanging around, trying to sort out what to do because oil has so many cross currents at the moment that it’s difficult to be overly confident in any position.

That being said, we are much closer to a major support level than we are to a major resistance level. So, I do think that buying on the dip will remain the way we go forward. The $75 level above is resistant and also features the 50-day EMA. So, pay close attention to that because if we break above there on a daily close, that could send this market looking to the 200-day EMA. Underneath the $68 level is a significant support level.

Brent Crude Oil Technical Analysis

Brent, very much is the same story, it is just kind of consolidating in what I believe longer term will end up being accumulation. $72 level underneath is massive support with the $80.50 level above as resistance. Now, the crude oil markets have to deal with the fact that there is a potential slowing economy and that of course drives down demand, but at the same time, the Federal Reserve is going to loosen monetary policy, demand should pick up at least in the United States, and then by extension, the rest of the world over time.

There are concerns about attacks in the Red Sea, and that of course could disrupt the flow of oil, but at the same time, there happens to be a glut of oil globally. So, a lot of different things are moving at the same time. And then of course you have to pay attention to what the US dollar is doing. After all, the oil market is priced in US dollars. So, if the dollar starts rising, that can sometimes drive down the price of oil and vice versa.

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