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Crude Oil Price Outlook – Crude Stabilizes on Wednesday
Published: Jun 25, 2025, 14:00 GMT+00:00
The crude oil market seems to be stabilizing on Wednesday, as the markets have found the previous resistance level to be supportive. That being said, a day or tow of calm action is the recipe for a longer-term run higher.
WTI/CL Technical Analysis
The light sweet crude oil market has shown itself to be rather stable during the trading session on Wednesday in the early hours, which is a major victory at this point in time. Quite frankly, this is a market that given enough time, I do think probably goes higher. But we also have to recognize that we have a situation where we are testing previous resistance and it should now, at least in theory, be support. We had broken out of this major consolidation area, granted due to massive headlines coming out of the Middle East, we panicked to the upside.
And now we find ourselves where we were before all of that started. We’re right around the 50 day EMA. And the longer we stabilize here, the better I think it is for the crude oil market and the possibility that it is going to continue to recover after the massive sell off. If we were to break down below the $63.50 level, then I think light sweet crude could drop all the way to 60. At this moment, I think we’re more or less in a holding pattern trying to find out whether or not we have in fact found a bit of a floor.
Brent Technical Analysis
Brent markets look very much the same as we continue to see a lot of noisy behavior and are hanging around the crucial 50 day EMA. The 50 day EMA of course is an indicator that a lot of people pay close attention to. But if we break down below the $66 level, then I think the bottom falls out pretty quickly. You’d have to be somewhat cautious, but I do think that you’d probably be looking for Brent markets to drop to the $62 level. Again, I think this is a situation where you want to see a day or two more sideways action and then a gradual move higher for a more sustainable trade to the upside, not one that is just driven on panic like we had seen.
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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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