Crude Oil Price Forecast – Crude Oil Markets Slow Down

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil markets have gapped higher during the trading session on Monday, but then pulled back just a bit to show signs of exhaustion. We are sitting right around the 200-Day EMA, and therefore it is not a huge surprise to see that there is a little bit of hesitation. Ultimately, this is a market that probably needs to pull back, perhaps reaching towards the $90 level, which of course is a large, round, psychologically significant figure.

If we do break down below the $90 level, then we will test the 50-Day EMA just below. On the other hand, if we do break above the $95 level, then it’s likely that we will have a significant shot higher, perhaps reaching the $100 level.

Brent Crude Oil Technical Analysis

Brent markets have done the same, as they are sitting well above the 200-Day EMA, and I think at this point in time it’s very likely that we will continue to see a lot of noisy behavior. Keep in mind that there is a huge fight right now between the demand structure, as the global economy is slowing down, but at the same time OPEC just cut 2 million barrels per day. In other words, we should have a significant “push pull” type of scenario where there is nothing but volatility.

If we were determined to break down below the $90 level, that would be the end of any shot higher, but right now I think at this point it’s very likely we will continue to see more support than anything else in the short term. Now that the market has been so noisy, I suspect that we have a situation where we are overdone, but it certainly looks as if the oil is trying to recover fully.

Crude Oil Prices Forecast Video for 11.10.22

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