Crude Oil Price Forecast – Crude oil markets fall hard on Tuesday

WTI Crude Oil

The WTI Crude Oil market fell rather hard during the trading session on Tuesday, as the 50 day EMA has been sliced through and the market has tested the $57 level. That being the case, the market looks as if it is trying to find buyers underneath, and the $57 level could very well be the place it does. A potential OPEC deal doesn’t seem to be doing much to assuage the fears of the market, so at this point it’ll be interesting to see if we can drop down to the $55 level next. If we close below $57, it’s very likely that we will. Alternately, we could hold here and try to bounce towards the $59 level.

Oil Forecast Video 03.07.19

Brent

Brent markets obviously did the same thing, breaking through the $65 handle. That of course is an important area, so it’ll be interesting to see whether or not we can try to recapture that. The volume was rather strong and therefore it’s likely that we could continue to go lower. At this point, it’s very likely that the WTI Crude Oil market will lead the way so we need to see that market rally before we turn back around. We could find this market testing the $62 level rather quickly, and then perhaps even the $60 level.

Ultimately, I think this is a market that continues to be very dicey due to the lack of global growth, and of course the extreme production that the Americans are still putting out. With that in mind, expect a lot of noise and you should also keep in mind that this is the thin week, so we may not get an actual verifiable of move until Friday.

Please let us know what you think in the comments below