Crude Oil Price Forecast – Crude Oil Markets Bounce A Bit

Christopher Lewis

WTI Crude Oil

The West Texas Intermediate Crude Oil market initially fell again during the day on Thursday but found enough support underneath the 200 day EMA to turn around and form a hammer like candle. If the market is going to continue the way it has of the last 24 hours, it will make a serious challenge to the 50 day EMA just above. If that does in fact happen and the market breaks above there, then we will be looking at a move towards the $60 level, followed by the $62.50 level. Alternately, if we were to break down below the bottom of the hammer from the Wednesday session, it’s very likely that we break down towards the $55 level next.

Crude Oil Forecast Video 17.01.20

Brent

Brent markets initially pulled back during the trading session on Thursday, touching the 200 day EMA before bouncing again to form a bit of a hammer. That of course is a bullish sign, but we do have a lot of resistance above as we had just sold off. Ultimately, I think if we can break above the $65 level, then the market is free to go much higher. At that point, the $67.50 level would be a very likely candidate, but it isn’t going to be easy after this type of selloff. However, this is where profits are made, finding value in a market. If that’s going to be the case, then it’s likely that we will see a certain amount of buying pressure here. If we break down below the hammer from the Wednesday session though, the market probably drops to the $62.50 level rather quickly.

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This article was originally posted on FX Empire

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