Crude Oil Price Outlook – Crude Oil Continues to Look for Upward Momentum

WTI Crude Oil Technical Analysis

The West Texas Intermediate Crude Oil Market did pull back slightly during the early hours on Thursday, but then turned around to show signs of life again. At this point in time, the $65 level continues to be a major support level and when you look back over the last couple of years you can see just how important it’s been.

So really at this point in time I think you’ve got a situation where we will bounce a bit but whether or not we can truly take off to the upside remains to be seen. If we were to break above the 50-day EMA, that would obviously be a very bullish sign opening up a potential move to the $75 level. However, all things being equal, this is a market that I think will be noisier than anything else, but maybe slightly leaning to the upside.

Brent Crude Oil Technical Analysis

The Brent market actually outperformed the WTI market for the session in the early hours because it did not pull back very much, and then it turned around to show signs of life. The 50-day EMA right now is currently offering resistance, and at this point in time, if we were to break above the 50 day EMA, which looks very likely, then we could go look into the 200 day EMA above at the $80 level.

In general, I think this is a situation where the market continues to see a lot of noise, a lot of questions asked about the global economy, and of course, what’s going on in the Middle East. With this being the case I think you’ve got a scenario where we probably get a little bit of a relief rally in crude oil overall.

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