Crude Oil Price Outlook – Crude Oil Continues to Build Upwards Pressure

WTI Crude Oil Technical Analysis

The Light Sweet Crude market, or West Texas Intermediate has been somewhat sideways in the early hours. It’s a little bit down but nothing major as we continue to hang around the $78.50 level, and I do think that this is a situation where now we are trying to figure out whether or not we can continue to go higher, perhaps breaking above the $80 level.

If we do, that will signal the next leg higher. On the other hand, if we turn around and pull back from here, then the 200-day EMA could offer support right around the $74 level. All things being equal, this is a market that I think you’re looking for value to take advantage of.

Brent Crude Oil Technical Analysis

The Brent market looks very much the same as we are hanging around the $82 level and at this point, I think a pullback to the 200 day EMA does make a certain amount of sense. However, I don’t even know that we get that far. You also have to look at the $80 level as support. So, I think what you’re looking for is a pullback and then a bounce that you take advantage of as the momentum continues to pick up at this juncture.

Energy demand should pick up as central banks around the world cut rates and of course, the US economy just won’t lay down. So that has a major influence as well. With all that being said, I’m looking for value and then I will be taking advantage of cheap oil if and when it shows up.

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