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Crude Oil Price Outlook – Crude Oil Gives Up Initial Gap
Published: Jun 23, 2025, 14:00 GMT+00:00
The crude oil market continues to see a lot of external pressures, especially in the form of the conflict between Iran and Israel. The bombing of nuclear sites by the Americans had oil gapping higher, only to fall back down.
WTI/CL Technical Analysis
The light sweet crude oil market has gapped higher to kick off the trading session on Monday, only to turn around and fall quite drastically. By falling the way we have, it shows that the market may be willing to accept the idea of just a one-time strike by the Americans. And of course, the market is noticing that the situation with oil has not gotten worse.
The Iranians are claiming that they may close the Strait of Hormuz, but considering that the Americans just bombed their nuclear facilities, it’s hard to believe that the Americans won’t sink those ships. So, with that being said, it looks very much like a market that is a buy on the dip, but it’s not in a panic. The $72.50 level should be an area that offers a bit of a floor.
Brent Technical Analysis
Brent markets also gapped higher but dropped pretty significantly to basically roll back over. That being said, the $75.50 level I think is support. And if we do continue to fall, we should see buyers. All things being equal, if we can break above the $82 level, then the market could go much higher. But right now, I think it’s more of a grind to the upside, as we have seen in the recent past anyway. I have no interest in shorting crude oil in either grade. With this, I am bullish, but I also recognize that oil isn’t in a runaway mode at the moment and recognize that the situation isn’t as bad as originally thought.
For a look at all of today’s economic events, check out our economic calendar.
About the Author
Christopher Lewisauthor
Christopher Lewis is an experienced trader that specializes in technical analysis and markets prediction. Chris has over 20 years of experience across a wide variety of markets and assets - currencies, indices, and commodities.
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