U.S. Markets closed

Crude Oil Price Forecast – Crude oil markets rally into resistance

Christopher Lewis

WTI Crude Oil

The WTI Crude Oil market has rallied rather significantly during the trading session on Wednesday, but we are currently hovering just below the 50 day EMA and the downtrend line, both of which should cause issues for the bullish. With that in mind I think it’s only a matter time before we sell off again. Beyond that, you should keep in mind that the jobs numbers on Friday and that will obviously have a major influence on what traders think of potential demand. With that in mind, I believe that it’s more likely to be a scenario where we consolidate than anything else.

Crude Oil Price Forecast Video 05.09.19

Brent

Brent markets also rallied during the day but ran into a buzz saw of selling at the downtrend line on the wedge that I have drawn. Ultimately, I think this is more of the same over here though, as this is simply far too close to the jobs number to think that the market will be able to make a significant move. If that’s going to be the case, then it makes sense that we continue to see a lot of volatility and sideways action over the next couple of days, at least until we get the jobs figure. Remember though, the Brent market is more non-US than anything else, so I still believe that we have negative headwinds due to the fact that there is a serious lack of global growth out there. Ultimately, I still like fading rallies.

Please let us know what you think in the comments below

This article was originally posted on FX Empire

More From FXEMPIRE: