Crude Oil Price Outlook – Crude Continues to Look to The Upside

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market has shown itself to be bullish in the early hours on Friday, as it looks like we are trying to get to the $71.50 level. If we can break above there, and we have jumped above there a couple of times, this is the 50-day EMA just waiting to cause some issues. If we can break above there, then I think the market could go looking to the $75 level above is a target. That would be where the 200-day EMA comes into the picture and ultimately, I think that could be your short-term ceiling.

On a pullback, the $70 level should continue to be significant support. If we can break down below there, then the market could go looking to the $67.50 level, offering a certain amount of a floor in the market. This is essentially the bottom of the last two year consolidation area and therefore it does make a certain amount of sense that we are bouncing.

Brent Crude Oil Technical Analysis

Brent markets are also hanging around the $75 level at the moment and it looks like we are trying to go above the 50-day EMA. If we can break above there then the market could go looking to the $80 level. Short-term pullbacks could be a potential buying opportunity but if we do break down from here the $73 level offers significant support.

And if we were to break down below there, then we could be looking at the $70 level. The $70 level is a large round psychologically significant figure and the bottom of the range for the last two years. Keep in mind that crude oil continues to see a lot of volatility and noise due to geopolitics, concerns about global slowdown, and then of course just simple technical back and forth trading.

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