Crude Oil Price Forecast – Crude continues to chop in range

WTI Crude Oil

The WTI Crude Oil market went back and forth during the trading session on Tuesday, as we continue to see a lot of choppiness and volatility. The $58 level above is resistance, just as the $55 level underneath is significant support. This is a market that will probably continue to go back and forth on a short-term basis, as we try to figure out what’s happening next with global growth. As things stand right now, I’m more than willing to buy at the bottom of this range and sell at the top until proven wrong with my thesis

Oil Forecast Video 06.03.19

Brent

Brent of course looks very much the same, as we just don’t know where to go next. While we have had a nice rally higher, we are stuck between the 50 day EMA on the bottom and the 200 day EMA on the top. His causes a lot of compression but does mean that eventually we should see a significant move in one direction or the other. It is that impulsive candle that will have the following right along with Brent. All things being equal, it’s likely that we will see the buyers take over, but clearly they are ready to make that stand quite yet. If we do break out to the upside, we should then go to the $70 level, possibly even the $75 level after that. OPEC cuts could continue to produce upward pressure. If we get a softening US dollar, that could be the “one-two punch” that we need.

Please let us know what you think in the comments below