Crude Oil Price Forecast – crude oil continues to test major resistance

WTI Crude Oil

The WTI Crude Oil market has been slightly negative in the CFD markets during the day on Wednesday, as the $75 level has been major resistance over the last couple of days. I think that the lack of liquidity due to the holiday of course will have an effect, but ultimately I believe that we could very well break above this level as supply disruption continues to be an issue. Ultimately, you should also pay attention to the currencies around the world, as the US dollar has kept this market a little bit softer than it may have been as the greenback has strengthened. A break above $75 allows the market to go to the $77.50 level above.

Brent

Brent markets have gone back and forth during the last couple of trading sessions after initially gapping lower to start the week. This is a bit of a divergence from the WTI market, so I think that we will continue to go back and forth and trade in a range bound manner. Overall, I think that the $75 level underneath will be massive support, just as the $80 level above will be massive resistance. Overall, I think that this market will find buyers on pullbacks, but the main take away from the oil market is that I prefer the WTI market over the Brent market. Overall, this is a market that continues to be bullish longer-term, but certainly one grade is outperforming the other.

Crude Oil Price Forecast Video 05.07.18