U.S. Markets closed

Crude Oil Price Forecast – crude oil continues to show strength

Christopher Lewis

WTI Crude Oil

The WTI Crude Oil market rallied slightly during the trading session on Monday to kick off the week, but we are right at an area where the market had sold off drastically so I do not think it’s going to be easy to continue going higher. That being the case though, it looks as if the inverted head and shoulders pattern is trying to prove itself, and therefore I like the idea of buying a pullback near the $55 level, and it could send this market much higher. This is a market that will continue to get a bit of a boost due to the greenback falling, and I do believe that we are going to make a move towards the gap at the $60 handle above. However, there will be the occasional pullback to offer value.

Crude Oil Video 19.02.19

Brent

The Brent market rallied a bit during the trading session on Monday, but with the lack of volume due to the Americans celebrating Presidents’ Day, it was somewhat muted. At this point, I would anticipate some type of pullback, but that pullback should be thought of as a buying opportunity. The $65 level could be supportive, and then of course the previous breakout area would be supportive as well. We are right in the middle of a massive cluster, so having said that it’s likely that the pullback would be expected, but with the Saudi Arabians looking to cut back production, I believe that crude oil will continue to go higher.

Please let us know what you think in the comments below

This article was originally posted on FX Empire

More From FXEMPIRE: