Crude Oil Price Forecast – Crude Oil Markets Gap to the Upside

Crude Oil Prices Forecast Video for 26.09.23

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil market has gapped to the upside to kick off the trading session, only to turn around and show signs of negativity. Ultimately, this is a market that continues to consolidate more than anything else, but it does have a bullish undertone to it, and that isn’t going to change anytime soon. I like the idea of buying dips in this market, because of the supply/demand equation.

Underneath, the $85 level is a significant support level, and we also have the 50-Day EMA racing toward it, so that being said, I do think that it is probably only a matter of time before the buyers come back to pick up value. If we can break above the $92.50 level, then the market is likely to go looking toward the $95 level. All things being equal, crude oil will continue to show signs of strength.

Brent Crude Oil Technical Analysis

Brent markets also gapped to kick off the Monday session to the upside, but then fell rather rapidly. At this point, I think this is a situation where we continue to see a lot of noisy behavior, but just as we see in the WTI grade, I think that the $90 level underneath will continue to be massive in its implications, as it was previous resistance, and could be significant support. Furthermore, it is also a large, round, psychologically significant figure, and therefore I think it makes a certain amount of sense that we would see this be the most important level in the market at the moment.

As long as Russia and Saudi Arabia continue to cut production by 1 million barrels, it makes quite a bit of sense that we will continue to see the crude markets rally, because quite frankly we also have to worry about inflation, which typically drives the price of commodities higher. However, crude oil markets are very noisy to say the least, and therefore you need to be cautious with your position sizing no matter what. Ultimately, I think that we are going to go looking to the $100 level above, and I believe most market participants agree.

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