Crude Oil Price Outlook – Crude Oil Continues to See Bounce

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market rallied a bit during the early hours on Thursday as we are breaking the $70 level. For what it is worth, we have the 50 day EMA just above offering resistance and if we can break above there, then it opens up the possibility of the next major resistance barrier being tested in the form of $72.50. We are bouncing from a pretty significant two year low. So that is something to keep in the back of your mind as well, but whether or not we have enough momentum to continue going higher remains to be seen.

Brent Crude Oil Technical Analysis

The Brent market is up about 1.4% by the time New York came online as we are testing the 50 day EMA. That being said, the market is likely to continue to see a lot of noisy behavior with the $70 level underneath being a significant support level. If we can break above the 50 day EMA and then the $76 level, it opens up the possibility of a move to the $80 level.

But as things stand right now, I think you’ve got a situation where a lot of traders are perhaps eyeing the war in Ukraine because that could have an influence on oil pricing as well. Either way, we’re close to the bottom of a two-year range and therefore a little bit of a bounce was to be expected.

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