Crude Oil Price Forecast – Crude Oil Continues to Look Sideways

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil Market was a little bit noisy in the early hours on Friday as we continue to hang around the $75 level. The $75 level is of course a large, round, psychologically significant figure and an area that will attract a lot of attention, not only due to the fact that it is a round figure, but it is also an area that I think a lot of people will be looking for options barriers.

If we do break down from here, I suspect that the $73 level underneath would be a potential support level, but I don’t really think that it is a massive concern at this point, even if we do pull back to that area. I think the buyers would jump in and try to take advantage of cheap crude. After that, then we have the $71.50 level offering support as well. Above, we have $78 being the possible target and possibly a ceiling.

Brent Crude Oil Technical Analysis

The Brent markets look very much the same we have gone back and forth in the early hours, perhaps showing a little bit of hesitation, but again, this is a market that has been extraordinarily volatile all week, so it’s not a huge surprise to see that we are hesitating a little bit.

Moving higher from here opens up the possibility of a move to the $81 level. A pullback at this point could see support at $77, and then again at $75.50, an area that has been important a couple of different times. With that being said, I do believe that it’s more or less going to be a situation where we are buyers of dips.

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