Crude Oil Price Forecast – Crude Oil Markets Flat
WTI Crude Oil
The West Texas Intermediate Crude Oil market has shown itself to be susceptible to downward pressure of the last couple of days, and as we have broken below the 50 day EMA again, it certainly looks as if a bigger move is coming sooner rather than later. Based upon the last couple of weeks, one would have to assume we just made a “lower high”, suggesting that we are probably now going to go probing for a “lower low.” At this point, I would not be surprised at all to see this market reached down towards the $37 level over the next couple of days. I continue to fade short-term rallies that show signs of exhaustion, especially if the US dollar starts to strengthen again, which currently looks to be the case.
Crude Oil Video 23.09.20
Brent
Brent markets have gone back and forth during the trading session as well, following the same back-and-forth type of pattern you would expect. Ultimately, this is a market that I think will see plenty of sellers jumping in, pushing it towards the $40 level. So far, the $40 level has offered significant support but if that level gets breached on a daily close, we could very well go down to the $35 level, possibly lower than that. With this being the case, I think that Brent will also be another scenario where you are looking to sell rallies as they occur. It is not until we break above the blue 200 day EMA that I am interested in buying this market, and quite frankly the lack of demand coming out of various economies does not provide a lot of incentive to be bullish of this market.
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This article was originally posted on FX Empire
