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Crude Oil Price Forecast – Oil markets choppy to kick off week

Christopher Lewis

WTI Oil

The WTI Oil market has gone back and forth during the trading session on Tuesday as traders are trying to figure out where to go next. Quite frankly, I believe that breaking the trendline last week is a major technical issue for the market and it is probably only a matter of time before the sellers return. With that in mind, we should pay attention to the $60 level at 200-day EMA is just above there. I am currently looking for signs of exhaustion near the $60 level to start selling after that, we could see the market try to capture $62 before finding resistance.

Crude Oil Video 29.05.19

Brent

Brent markets have a little bit better day during trading session on Tuesday but ran into trouble at the 50-day EMA and the previous uptrend line. What we are seeing in this market as far as the reaction concern is what I am expecting to see in the WTI market. Remember, these markets tend to the same direction overall, but one will quite often lead the other. Anybody who treats crude oil over the longer-term recognizes that is the case, so therefore it should be paid attention to.

Looking for exhaustion on short-term charts is the way of trading Brent, right along with the WTI market. If we break down below the $67.50 level, then this market will more than likely go looking towards the $65 level next. I don’t have any interest in buying quite yet, but of course that can change in the market tells me anything different.

Please let us know what you think in the comments below

This article was originally posted on FX Empire

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