Crude Oil Price Forecast – Crude Oil Continues to See Buyers

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Published: Sep 19, 2024, 14:02 GMT+00:00

The crude oil market continues to see buyers coming into it, as the market focuses on the idea of inflation and potential growth, as the Federal Reserve has decided to cut 50 basis points. Also, we were already at very low levels, so we may have some distance to go.

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market rallied in the early hours of Thursday as traders continue to react to the 50 basis point interest rate cut coming out of the Federal Reserve. And quite frankly, we had been rallying before that. So, this suggests to me that people are trying to go back into things because inflation is going to start picking up again.

Makes a certain amount of sense that oil would be one of those places. The $71.50 level above is going to be an area that could cause a little bit of resistance, and at this point in time, I think you have to pay close attention to it because if we can get above there, it’s very likely we’re going to the $75 level. Otherwise, short-term pullbacks end up being buying opportunities.

Brent Crude Oil Technical Analysis

The Brent market are just about on the precipice of breaking out right now as I record this video. And quite frankly, I think it is going to. The market almost certainly will go looking toward the $75.50 level, maybe even the $77.50 level given enough time. Short-term pullback should continue to see plenty of support near the $72.50 level. The market has been reacting to geopolitical concerns as well as what I think is going to be a massive liquidity injection again, which of course makes assets rise in price as well as inflation, so we’ll have to wait and see how this plays out.

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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.