Crude Oil Price Forecast February 19, 2018, Technical Analysis

Christopher Lewis

Updated Fri, Feb 16, 2018, 11:31 PM

WTI Crude Oil

The WTI Crude Oil market rallied slightly during the trading session on Friday, as we continue to see the market recover from the massive selloff. Ultimately, I think that the $62 level above is going to offer resistance, and at this point I think that it is likely that we will see sellers return sooner, rather than later. I believe that the US dollar falling has been part of the reason the oil market has rallied, but at the end of the day I think that oversupply is going to continue to be an issue as US drillers are pumping away.

Brent

Brent markets rallied a bit during the trading session on Friday as well, reaching towards the $65 level. The $66 level above is the end of significant resistance, as this is more of a “zone” to deal with, and therefore I think that it’s only a matter of time before the market roles over, because the uptrend line that had previously been so supportive is now going to offer a significant amount of resistance. At this point, I’m not interested in buying crude oil until we clear the $68 level, which would be a massive breakout of resistance. Ultimately, I think that the market will continue to see volatility, but I believe that we have seen the highs for the year, and I think that selling the rallies continues to work out in the end.