Crude Oil Weekly Price Forecast – Crude Oil Markets Continue to Grind Higher

Christopher Lewis
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WTI Crude Oil

The West Texas Intermediate Crude Oil market has rallied during the course of the week as we continue to see plenty of upward pressure. That being the case, the market is likely to see buyers on dips now that the omicron variant is seemingly not going to shut down the economy. With this being the case, the market is very likely to go looking towards the $80 level, and then possibly the $85 level after that. Underneath, I see plenty of support near the $70 level, assuming that we even pull back that far. With this being said, the market looks very likely to continue being bullish, especially as traders put risk back on after the holidays.

WTI Oil Video 03.01.22

Brent

The Brent market also has done the same thing to reach towards the $80 level but has pulled back just a bit in order to show signs of hesitation, as there is plenty in the way of psychology around that number. Nonetheless, I do think that any pullback should be thought of as a buying opportunity, extending all the way down to at least the 50 week EMA which currently sits at the $70.63 level. Because of this, I have no interest in shorting this market and I do think that it will take off to the upside almost right away as the worries about a global lockdown seem to have abated. Demand for crude oil will continue to rise, which of course will help the equation as well. Another thing to pay close attention to is whether or not the US dollar is rising or falling, because it can have a bit of a negative correlation here.

For a look at all of today’s economic events, check out our economic calendar.

This article was originally posted on FX Empire

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