Crude Oil Price Forecast – Crude oil markets grind back and forth

WTI Crude Oil

The WTI Crude Oil market has been slightly positive during the trading session on Monday as markets continue to grind back and forth. We are currently sitting above the 50 day EMA which of course offers support, but we also have the 200 day EMA just above that offers resistance. That being the case, the market is very likely to continue to be erratic and choppy but I think at this point short-term traders will continue to play this in a back-and-forth manner. To the downside, I believe that the $56 level is rather supportive, while the $60 level is rather resistive as well. Do not expect much in the way of clarity.

Crude Oil Video 09.07.19

Brent

Brent markets tried to rally during the day and did keep some of the gains but struggled above the $65 handle. At that level, we continue to be sold off into the 50 day EMA. This is a market that is trying to figure out which way once it goes well, as we have a lot of questions when it comes to the global demand, as OPEC is trying to cut production but quite frankly nobody is paying attention. If global growth slows down crude oil will be in less demand, and of course the fact that the Americans are pumping out almost 13 million barrels a day doesn’t help much either. Ultimately, this is a market that will struggle for clarity but once we get it it’s likely that we will make an impulsive move. I believe that the $62.50 level offer support, and if we were to break down below there then we could probably go to the $60 level. However, a break above the $62.50 level opens the door to much higher levels, perhaps an uptrend.

Please let us know what you think in the comments below