Crude Oil Price Forecast – Crude Oil Stabilizes in Digestion of Recent Gains

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Published: Aug 1, 2024, 14:46 GMT+00:00

Crude oil continues to see a lot of noisy behavior, as we have recently exploded to the upside. At this point, it looks like we are trying to digest a lot of those gains and stabilize a bit. This makes sense, as we have the jobs reports in the United States released on Friday.

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil Market has done very little in the early hours on. Thursday as we continue to hang around the $78 level, this is an area that previously had been resistant. So, it does make a certain amount of sense that we could see further resistance.

The market also has recently exploded from the $75 region. So, I think a little bit of a break does make a certain amount of sense. Beyond all of that, we also have the Friday session, which features the jobs number in America, which could very well introduce more volatility. If we can break above the $70 50 cents level, I think this market goes looking to the $80 level.

Brent Crude Oil Technical Analysis

The Brent market, of course, continues to go sideways with the $81 50 cents level offering resistance. If we can break above there, then the $82 50 cents level is the next target followed by the $84 level. Short term pullbacks are very possible due to, but I think short-term pullbacks will probably be bought into due to the fact that this time of year is typically pretty bullish for oil. And let us not forget that the conflict in the Middle East seems to be trying to do everything it can to expand. If that does in fact happen, we could see a lot of noise in this market, probably to the upside, and massively so.

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About the Author

Christopher Lewisauthor

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.