Crude Oil Price Forecast – Crude Oil Continues to Look for Direction

Crude Oil Prices Forecast Video for 28.02.23

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil market pulled back just a bit during the trading session on Monday, as we continue to look for some type of momentum. The market has been in a well-defined range since November of last year, and I just don’t see that changing anytime soon. Quite frankly, this is a bit of a mess and doesn’t really seem to have any momentum to break out of this area between $72.50 and $82.50. If that’s going to be the case, then you need to employ sideways, and range bound trading in order to take advantage of it. Looking for a bigger move is a bit of a fool’s errand at the moment.

Most traders are sleepwalking through the season at the moment, as we just don’t know where global economies are going to go. Demand remains somewhat reasonable at this time and at this price point, but whether or not that can continue remains to be seen. Most energy analysts believe that sooner or later we will see a shot higher, right now it is just not overly convincing as far as a momentum perspective is concerned.

Brent Crude Oil Technical Analysis

Brent markets also are very range bound as we continue to see a lack of conviction one way or the other. One of the biggest problems of course is going to be the fact that the global economy is slowing down, and therefore it should be a drag on demand. There are so many central banks around the world tightening at the moment that is difficult to imagine a scenario where risk appetite suddenly takes off, but it’s obvious that we are not ready to melt down anytime soon either. I think this market will continue to look at the $77.50 level underneath as support, while the $90 level above will continue to be thought of as resistance. It’s also worth noting that the 200-Day EMA sits just above that $90 level, so and that’s also a scenario where the trend could be thought of as changing if we were to break above there on a daily close.

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