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

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Published: Jul 17, 2024, 13:43 GMT+00:00

The crude oil market has seen a significant amount of support over the last few days, as the market is likely to see a lot of hesitation of the sellers come into play. Ultimately, this is a market that is cyclically strong in the summer, and therefore, this is a market that could bounce hard.

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market rallied a bit during the early hours on Wednesday as we found a lot of value hunters just below the $80 level. This makes a certain amount of sense due to the fact that this time of year is typically very bullish for crude oil. So, with that being said, I think you have to look at this as a value play.

The early hours certainly have been very strong and at this point in time, I think if you can continue to break higher, it’s likely that we will go looking to the $81.30 level. Short-term pullbacks of course offer opportunities as the $76.50 level has offered quite a bit of support over the last couple of days. Crude oil cyclically is strong in summer due to travel, but we also have the geopolitical issues that could continue to lift oil overall.

Brent Crude Oil Technical Analysis

Brent is very much the same, but it is probably worth noting that the market has a little bit of a barrier above, at the $84 level. If we can break above the $84 level, then it’s likely that we will continue to see follow through, perhaps a run to the $85.50 level. Simply put, although oil has been sold off somewhat over the last couple of weeks, I still think it is very well supported and I do recognize that we are more likely than not going to see a bit of a bounce.

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About the Author

Christopher Lewisauthor

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.