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Crude Oil Price Forecast – Crude oil markets break down

Christopher Lewis

WTI Crude Oil

The WTI Crude Oil market has broken down rather significantly during the trading session on Friday, slicing through the $55 level. It looks as if we are heading towards the $52.50 level, and then perhaps even the $50 level. Short-term rallies should be selling opportunities, and I do not believe that the market is one that can be bought. However, I do like the idea of fading any signs of strength. The alternate scenario of course is that we break down below the bottom of the candle stick and continue to fall rather rapidly. Global growth concerns continue to weigh upon the idea of higher pricing.

Crude Oil Inventories Video 03.06.19

Brent

Brent markets broke down rather significantly during the trading session on Friday as well, slicing through the $62 level. This is a market that looks very likely to continue to go lower, with the $60 level offering short-term support. However, I think we are getting ready to go much lower, as there are a lot of concerns about global growth and of course this is very likely going to be a market that continues to fade from here. In fact, it’s not until we break above the Thursday candle that I would be interested in buying in this situation. That being said, I am simply a seller and not a buyer at this point and believe that we are going to go much lower. Crude oil looks very dangerous at the moment to try to find a bottom in.

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This article was originally posted on FX Empire

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