Crude Oil Price Forecast – Crude Oil Markets Stall

Crude Oil Prices Forecast Video for 10.05.23

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil market was somewhat soft during the trading session on Tuesday, as the market has recently seen a massive bear market rally. At this point, we could be running into a bit of hesitation, which suggests that the overall downtrend is still very much intact. This does not necessarily mean that I expect the market to go much lower than it did previously; a move back down to that level is possible. We have to worry a lot about significant demand destruction because there are a lot of concerns about the overall global economy. After all, the energy markets directly reflect what’s going on with the global economy, and as it seems like a recession is all but known at this point, oil will struggle.

The 50-Day EMA can be a potential resistance barrier sitting right below the $76 level. Even if we were to break above there, the 200-Day EMA is dropping just above the $80 level. In other words, we are closer to a selloff than we have been over the last few days.

Brent Crude Oil Technical Analysis

Brent markets also continue to see an attempt at a recovery but have also slowed down during the trading session on Tuesday, as the market has had an extreme 3 sessions previously, and therefore I think it’s probably only a matter of time before we see signs of exhaustion that people jump all over the next. This market will continue to see a lot of volatility, but I think the lows will be tested again, given enough time. However, if we were to break above the 50-Day EMA, we could see the 200-Day EMA sitting right around the $86 level.

All things being equal, this market is probably trying to find its summer range, and we may have determined that the $70 level underneath would be significant support while the $86 level or so could be resistance. In general, I think we continue to see a lot of noisy behavior, but at the end of the day, we will continue to see an easier lower than higher.

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