WTI Crude Oil
The WTI Crude Oil market rallied a bit during the day on Monday, as we continue to see a bit of a relief rally after the massive selloff. The $63 level above should begin a significant amount of resistance though, because not only do we have a cluster in that area, but we also have the previous uptrend line that should now offer a bit of resistance. If we roll over from here, I think that the market probably drops towards the $60 level, but if we do rally above the $63 level, I think there is another barrier that you need to worry about at the $65 level.
Brent
Brent markets rallied slightly during the day as well, as we are approaching the $66 level. That is an area that coincides not only with a previous low, which of course should now be somewhat resistive, but a previous uptrend line that will course have an influence on the market. Pay attention to the US dollar, if it continues to selloff that could help Brent markets, but right now I think that oversupply is going to continue to be a major issue. These rallies should be selling opportunities, and I believe that eventually we will see crude oil markets succumb to the massive oversupply. I think that the $60 level will be targeted but be patient and wait for some type of rollover or perhaps a move below the $65 level again to get short.
Crude Oil Video 20.02.18
This article was originally posted on FX Empire