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Crude Oil Price Outlook – Crude Plunges Again on Friday
Published: Apr 4, 2025, 12:55 GMT+00:00
The crude oil market has fallen hard again on Friday, as the markets continue to look at the very real possibility of a global recession in the near future. With this, the market has broken a major three year support barrier.
WTI Crude Oil Technical Analysis
The light sweet crude oil market has been crushed early during the trading hours of Friday even before the announcement of jobs numbers in the United States and Canada, as traders continue to freak out about the possibility of a global recession. We are now below the $65 level, which has been a major support level for the last three years. So it’ll be interesting to see how far we can drop. At this point in time, there’s no need to try to catch a falling knife. Although I know many retail traders out there will be trying to do exactly that.
At this point, the CL contract would have to prove itself. In other words, recapture $65 to build up any real confidence. But we’ve seen an over 8 % drop in pre New York trading. At this point, it’s a really difficult market to try to pick up. As far as shorting is concerned, we have dropped somewhere in the neighborhood of around 14, 15 % over the last day and a half. So, you’d be a bit late for that as well.
Brent Crude Oil Technical Analysis
The Brent market is also down pretty significantly, about seven and a half percent as I record this, and we are well below the support level over the last three years as well, so it’s a very similar chart as you would expect. If the market does bounce from here, it needs to recapture $70 on a daily close in order to start going higher. Any bounce towards $70 probably gets met with a lot of selling pressure as, again, the sentiment for oil is absolutely horrible.
For a look at all of today’s economic events, check out our economic calendar.
About the Author
Christopher Lewisauthor
Chris is a proprietary trader with more than 20 years of experience across various markets, including currencies, indices and commodities. As a senior analyst at FXEmpire since the website’s early days, he offers readers advanced market perspectives to navigate today’s financial landscape with confidence.
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