Crude Oil Price Forecast – Crude Oil Markets Continue to Build a Bullish Flag
WTI Crude Oil
The West Texas Intermediate Crude Oil market has shown itself to be somewhat bullish during the trading session, but at this point in time it is obvious to me that we still have a lot of resistance just above. With that being the case, the market is likely to continue to see plenty of buyers on dips, but I also recognize that we are in a scenario where there is a lot of noise just above. Quite frankly, if we can break above the $83 level on a daily close, then I suspect that we are going to go looking towards the $85 level. Pullbacks at this point continue to find plenty of support all the way down to at least the 50 day EMA.
Crude Oil Video 10.11.21
Brent
Brent markets also have rallied a bit, but still struggles to break out of the flag. At any daily close above the $85 level will more than likely send this market much higher, with the potential of a “measured move” from the bullish flag for a run all the way to the $100 level. This does not mean that we get there overnight, but it does suggest that there is a lot of momentum simply waiting to be unleashed. With this in mind, I think it is only a matter of time before we see some type of bigger move. The 50 day EMA currently sits just above the $80 level, so I am looking at the $80 level as a “floor in the market”, and as long as we stay above there it is likely that we would continue to see plenty of support in that area. Any break below that level could send this market dropping another $10.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
