Crude Oil Price Forecast – Crude Oil Markets Continue to Pull Back
WTI Crude Oil Technical Analysis
The West Texas Intermediate Crude Oil market has fallen significantly during the trading session on Thursday to break down below the $107 level. At this point, it looks like the market is going to test the major trend line from before, and therefore I think it’s probably only a matter of time before we see major action one way or the other. If we do break down below the uptrend line, the next target will be the $100 level. Breaking below that level then opens up the possibility of completely changing the trend. It is worth noting that the rest of the commodity markets have taken a punch to the face, so oil is the “last man standing.”
Crude Oil Prices Forecast Video for 01.07.22
Brent Crude Oil Technical Analysis
Brent markets obviously look very similar, as they are threatening the uptrend line underneath which is closer to the $107 level. If we break down below there, then the Brent market is likely to go to be $100 level where it will start to tangle with the 200 Day EMA. Breaking down below that of course would be rather negative as well, kicking off what would technically be determined a “downtrend.”
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On the other hand, if either one of these markets bounces from the uptrend line, then it looks like they are going to try to save themselves. That being said, the last couple of days have seen a real shift in momentum, and it does suggest that more trouble is on the way. With that, I’m not overly enthused about owning crude oil at all right now. The markets are just far too dangerous.
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