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Crude Oil Price Forecast – Crude oil market spike for the day

Christopher Lewis

WTI Crude Oil

The WTI Crude Oil market rallied significantly during the trading session on Tuesday, reaching towards the $54.50 level. There is a significant amount of resistance at the $55 level as well, so at this point if we can break above there we could get moving in a very bullish stance. However, I think at this point it’s a bit early to get overly excited about buying this market. After all, we still have the FOMC coming out tomorrow, and that of course will have an influence on the US dollar. That being said, we are still technically in the range bound trading block that we have been in for some time.

Oil Forecast Video 19.06.19

Brent

Brent markets initially pulled back during the trading session on Tuesday but then found enough support just above the $60 level to rally, so it’s very likely that we continue to see this market go back and forth. Quite frankly, this is a market that has gotten a bit ahead of itself during the trading session, as we await the FOMC Statement. Beyond that, I think this was simply a market looking for a reason to rally after testing this major support barrier. That makes sense, as it is a technically important reason. Ultimately, I think that the market will probably find quite a bit of interest in this area, especially considering that the 61.8% Fibonacci retracement level is underneath. I do believe that a bounce could be coming, but if we break down on a daily close below the $60 handle, the market could reach down to the $55 level next.

Please let us know what you think in the comments below

This article was originally posted on FX Empire

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