Crude Oil Price Forecast – Crude Oil Continues to Look Noisy

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market has rallied a bit in the early hours of Wednesday as we continue to see a lot of noisy behavior. That being said, there are a lot of concerns out there when it comes to global growth and of course, Chinese demand. And if that’s going to be the case, I think we’re going to continue to see a bit of a short term ceiling above.

The sixty seven dollars fifty cents level seems to be an area of significant resistance, and we are pulling back from it a bit. So, it’ll be interesting to see if we can get things turned around at this point. If we can break above the $68 level, then the market could go much higher. A pullback at this point in time probably looks at the $65 level as a potential support level.

Brent Crude Oil Technical Analysis

The Brent markets, of course, also have seen quite a bit of noise. And I think at this point, you have to look at this as a market that is currently dancing around the $70 level in the middle of the week here. Now, I think the market is trying to sort out whether or not we can pick up enough momentum to go higher. As things stand right now, it looks more or less like a sell the rally type of situation.

And that might be what we are starting to see play out. If we break down below the $69 level, this could be a rather ugly turn of events. And we could see the market really start to meltdown at that point. That would be a sign that things are going to get very ugly very quickly, and we would probably see a massive risk off the market around the world.

For a look at all of today’s economic events, check out our economic calendar.