Crude Oil Price Outlook – Crude Oil Bounces Early on Tuesday

WTI Crude Oil Technical Analysis

The Light Sweet Crude oil market has rallied a bit during the early hours on Tuesday as it looks like the 50 day EMA and the $72.50 level both are offering significant support. With that being the case, I think you’ve got a situation where traders are simply looking to take advantage of cheap oil. And I do think that with central banks around the world likely to loosen monetary policy, that could drive up demand. Quite frankly, we’ve seen a massive spike and now we are looking at a pullback in an area that previously has been important. So, it looks like the buyers are coming in on a technical pullback.

Brent Crude Oil Technical Analysis

Brent markets look very much the same as we’re hanging around the 200 day EMA and had bounced from the 50 day EMA. And now it looks like the market is likely to see a lot of buyers willing to come in and try to find cheap barrels in order to take advantage of what has been a very wild move, but obviously one from a major support level from a longer-term standpoint.

I do believe that the Brent market will follow right along with the West Texas Intermediate or Light Sweet Crude market. Really at this point in time, I do think we are looking at a bounce coming in oil that I think a lot of traders are more than willing to step in and take advantage of.

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