Crude Oil Price Outlook – Crude Continues to Build a Base

WTI Crude Oil Technical Analysis

The light sweet crude market has rallied a bit during the early hours on Monday, but at this point in time, the market is likely to continue to see a lot of questions asked about this scenario as we are close to the $67 level. The $67 level has been a major support level and therefore it’s likely that we will continue to see this area end up being a major area of interest due to the last three years as it’s been massive support.

The question now is whether or not we can continue to go higher. I think eventually we get a break higher, but you can see just how noisy it’s been. So if you are a short term trader, this is a nice range bound opportunity, as price goes back and forth.

Brent Crude Oil Technical Analysis

The Brent market, of course, is likely to continue to see much of the same action, with $70 being a bit of a support level. The $70 level is a situation that has been support for three years over here as well and therefore I think it continues to matter. It’s really not until we break down below the $68 level that I would be concerned about Brent. And at that point, we could drop to the $65 level.

In the short term, I think you’ve got a situation where we are just simply bouncing back and forth, trying to find out whether or not we get enough momentum to go higher.

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