Crude Oil Price Forecast – Crude Oil Continues to Look Sideways

WTI Crude Oil Technical Analysis

The US oil or the West Texas Intermediate Crude Oil Market initially fell in early overnight trading on Thursday, only to turn around and show signs of life. Keep in mind that Thursday is Thanksgiving in the United States, so the futures markets, of course, are closed most of the day. So, this is a very limited set of trading hours, and that is the same for the next session.

So, the next couple of days should be fairly quiet, and therefore I really think without some type of massive geopolitical event, we probably would have very little to do in the oil market rather than just hang around where we are now. We’ve been grinding sideways for a while, and we are basically in the middle of overall consolidation. So, I think we are at fair value.

Brent Crude Oil Technical Analysis

The Brent market did very much the same as it pulled back just a bit during the session only to turn things around. Underneath we have the $70 level offering significant support and above we have the 50 day EMA, the 200 day EMA and the $80 level all offering resistance. That’s assuming that we would even get anywhere near there.

I think the $75 level is probably going to be difficult to break above. And at this point in time, I think that’s your first real challenge. All things being equal, I think this is a market that just continues to grind back and forth. And if you’re a short-term trader, this might be the market for you if you like trading range-bound markets. There’s really nothing to get the markets moving at the moment, but it is worth noting that the support in both grades of crude oil go back a couple of years.

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