Crude Oil Price forecast for the week of July 17, 2017, Technical Analysis
WTI Crude Oil
The WTI Crude Oil market rallied a bit during the week, reaching towards the $47 level. There are a lot of noises going around the market right now, such as Saudi Arabia cutting back shipments of crude oil to the United States. Ultimately though, we still have an oversupply of oil, and quite frankly I believe that OPEC has lost control of the market. I think it’s only a matter of time before we see in exhaustive candle, and with that I think it’s time to start selling. I have no interest in buying crude oil, I believe that the $50 level above is going to be massive resistance even if we do breakout, so being patient and waiting for signs of weakness is how I plan to trade this market going forward.
Brent
Brent markets initially tried to fawn then rallied significantly, but the $49 level continues to offer quite a bit of resistance that it extends to the $50 level. I believe that the real fight in this market is at the $50 level, so and exhaustive candle in that area is a nice selling opportunity as far as I can see. The $45 level underneath will be a target, and that’s exactly what I am looking to reach towards. If we break above $50, then I think we can go to the $55 level above, but as you can see the moving average is starting to roll over, and it appears that the market is getting a bit heavy. Oversupply continues to be a massive issue in the gold markets, so having said that I think it’s going to be difficult for rallies the last for any real length of time.
This article was originally posted on FX Empire